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HBD Financial Services is targeting a public listing before September 2025, with Chief Financial Officer (CFO) Jaykumar Shah expressing confidence in meeting this timeline.
“Our regulatory timeline to list is before September 2025,” Shah stated. “We’re fairly confident that we will be able to complete the process in time, working closely with all regulators to secure the necessary approvals.”
HDFC Bank Endorsement Boosts IPO Prospects
The move towards an Initial Public Offering (IPO) follows a board approval from HDFC Bank, the parent company of HBD Financial Services. Shah said, “The recent approval from HDFC Bank’s board for our potential IPO is a pivotal moment. As part of the HDFC Bank group, responsible and profitable growth are core principles that will guide us through this transition.”
Commitment to Sustainable and Responsible GrowthShah emphasised the company’s dedication to sustainable growth. “As a company, we’ve always believed in growth that is responsible and sustainable. We have a fiduciary duty to our shareholders and stakeholders to ensure that our actions are ethical and aligned with our cultural values,” he said. He outlined HBD’s approach, which includes outperforming competitors during favourable conditions while mitigating impacts during economic downturns.
Diverse Product Base and Balanced Contribution
HBD Financial Services operates across three primary segments: enterprise lending, asset finance, and consumer finance. Shah detailed, “We’re across every single gamut that you can think of,” highlighting the company’s involvement in sectors from micro, small, and medium enterprises (MSMEs) to consumer loans. The product base is balanced, with each segment contributing approximately one-third to the overall business, ensuring stable revenue streams.
Profitability Across Business SegmentsAddressing profitability, Shah confirmed that all business segments are profitable, though results vary seasonally. “Every single business we’re in is profitable. Obviously, it varies from business to business and from quarter to quarter, but we’re comfortable with our performance,” he explained.
Strategic Focus and Long-Term Vision
Shah outlined the CFO’s priorities for the year, including achieving budgetary goals and enhancing the company’s reputation as a leading non-banking financial company (NBFC). Looking ahead, HBD Financial Services aims for sustained profitable growth, focusing on technological advancements and customer service improvements. Shah emphasized, “The idea is to continue delivering on our promise of responsible, profitable growth over the next 3 to 5 years.”
Balancing Growth with ResponsibilityShah also addressed the broader financing industry, underscoring the importance of responsible lending and understanding customer needs. “It’s crucial that we understand our responsibility in fueling growth while being very responsible,” he remarked. Adhering to rigorous Know Your Customer (KYC) standards and addressing customer requirements will be pivotal to future success.
The CFO emphasised the company’s approach to growth, which includes outperforming competitors in favourable conditions and mitigating challenges during economic downturns. With the Indian economy projected to grow at over 8% this year, HBD Financial Services aims to align with this growth rate, reinforcing its focus on responsible expansion.
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