Category Archives: Business

IDFC FIRST Bank Q1 FY25 PAT at Rs. 681 Crores, Core Operating Profit up 30.2 percent YOY

July 29, 2024, Mumbai, Maharashtra, India : Financial results at a glance The Board of Directors of IDFC FIRST Bank, in its meeting held today, approved the unaudited financial results for the quarter ended June 30, 2024.

Deposits & Borrowings

Total Deposits of the Bank increased by 35.8% YOY from Rs. 1,54,427 crore as of June 30, 2023 to Rs. 2,09,666 crore as of June 30, 2024.
Customer Deposits increased by 37.8% YOY from Rs. 1,48,474 crore as of June 30, 2023 to Rs. 2,04,572 crore as of June 30, 2024.
CASA Deposits grew by 36.1% YOY from Rs. 71,765 crore as of June 30, 2023 to Rs. 97,692 crore as of June 30, 2024.
CASA Ratio stood at 46.6% as of June 30, 2024.
Retail Deposits grew by 43.5% YOY from Rs. 1,14,272 crore as of June 30, 2023 to Rs. 1,64,001 crore as of June 30, 2024.
Retail Deposits constitutes 80.2% of total customer deposits as of June 30, 2024.
Legacy High Cost Borrowings reduced from Rs. 16,055 crore as of June 30, 2023 to Rs. 10,084 crore as of June 30, 2024.
The Bank opened 11 new branches during Q1 FY25 to reach branch count of 955 by June 30, 2024.

Loans and Advances

Loans and Advances (including credit substitutes) increased by 22.0% YOY from Rs. 1,71,578 crore as of June 30, 2023 to Rs. 2,09,361 crore as of June 30, 2024.
The Bank continues to wind down infrastructure financing as per the stated strategy and now constitutes only 1.3% of total funded assets as of June 30, 2024.
Exposure to top 20 single borrowers improved from 7.0% as of June 30, 2023 to 5.4% as of June 30, 2024.
Credit to Deposit Ratio improved from 107.3% as of June 30, 2023 to 98.1% as of June 30, 2024.
Incremental Credit to Deposit ratio between June 30, 2023 to June 30, 2024 was 72.1%.

Assets Quality

Gross NPA of the bank has improved from 2.17% as of June 30, 2023 to 1.90% of June 30, 2024, improved by 27 bps on YOY basis.
Net NPA of the bank has improved from 0.70% as of June 30, 2023 to 0.59% of June 30, 2024, improved by 11 bps on YOY basis.
Gross NPA of the Retail, Rural and MSME Finance has improved from 1.53% as of June 30, 2023 to 1.46% as of June 30, 2024, improved by 7 bps on YOY basis.
Net NPA of the Retail, Rural and MSME Finance has improved from 0.52% as of June 30, 2023 to 0.46% as of June 30, 2024, improved by 6 bps on YOY basis.
Excluding the infrastructure financing book, which the Bank is running down, the GNPA and NNPA of the Bank would have been 1.60% and 0.43% respectively as of June 30, 2024.
SMA-1 and SMA-2 in Retail, Rural and MSME Finance portfolio continues to be low at 1.01%, but increased from 0.85% as of March 31, 2024 due to rise in SMAs of JLG book (due to floods) which increased from 1.26% as of March 31, 2024 to 1.70% as of June 30, 2024.
Provision coverage ratio (excluding technical write-off) of the bank has increased from 68.11% as of June 30, 2023 to 69.38% as of June 30, 2024. Excluding the run-down infrastructure book, PCR was at 73.48% at June 30, 24.
Profitability

Net Interest Income (NII) grew 25% YOY from Rs. 3,745 crore in Q1 FY24 to Rs. 4,695 crore in Q1 FY25.
Net Interest Margin (Gross of IBPC and sell-down) reduced from 6.33% in Q1 FY24 to 6.22% in Q1 FY25.
Fee and Other Income grew by 19% YOY from Rs. 1,341 crore in Q1 FY24 to Rs. 1,595 crore in Q1 FY25.
Core Operating income grew 24% from Rs. 5,086 crore in Q1 FY24 to Rs. 6,290 crore in Q1 FY25.
Operating Expense grew by 21% YOY from Rs. 3,659 crore in Q1 FY24 to Rs. 4,432 crore in Q1 FY25.
Core Operating Profit grew by 30% YOY from Rs. 1,427 crore in Q1 FY24 to Rs. 1,858 crore for Q1 FY25.
Provisions increased 109% YOY from Rs. 476 crore in Q1 FY24 to Rs. 994 crore in Q1 FY25. This was primarily due to rise in provisions of JLG portfolio, impacted by the flood in Tamil Nadu and seasonal impact.
The annualized credit cost as % of average funded assets (gross of IBPC) for Q1 FY25 was 1.90%. Without the impact of JLG book, the annualized credit cost as % of average funded assets for Q1-FY25 was 1.70%. Bank expects the credit cost to get normalized from Q3-FY25 onwards.
Net Profit de-grew 11% YOY from Rs. 765 crore in Q1 FY24 to Rs. 681 crore in Q1 FY25. Excluding trading gains from respective period, the degrowth in profit was at 7% YOY.
Provisions for JLG business was higher by Rs. 132 crores in Q1 FY25 over the Q1 FY 24. Excepting this impact, the PAT for the quarter would have been higher by Rs. 100 crores.
RoA stood at 0.91% and RoE stood at 8.32% in Q1 FY25.

Capital Position

Capital Adequacy including profit for Q1-25 was strong at 15.88% with CET-1 Ratio at 13.34% as on June 30, 2024. Including Capital raised in July 2024, the Capital Adequacy Ratio as on June 30, 2024 would be 17.21%, with CET-1 ratio at 14.67%.

Comments from Managing Director & CEO

Mr. V Vaidyanathan, Managing Director and CEO, IDFC FIRST Bank, said,

“The biggest requirement in Banking today is the ability to raise deposits. On this front, we continue to get strong growth in deposits based on top quality service levels, top in class mobile App, and excellent corporate governance. Our CASA ratio is sustained at 46.6%. Our customer deposits have grown 38% YOY. We thank our customers for their goodwill towards us.

Overall Gross NPA was stable at 1.90% and Net NPA was 0.59%. Provisions normalized this quarter in line with the industry. We took extra provisions for MFI business because of massive floods in Tamil Nadu and because of seasonality. We expect credit cost to normalise in H2 FY25 as guided earlier.

On the profitability front, the Core Operating Profit (Income less Opex) rose 31% YOY excluding trading gains. This continues on the back of strong core Operating Profit in FY24, which was up 31% from Rs. 4,607 crore in FY23 to Rs. 6,030 crore in FY24.”

Lineage Announces Closing of Initial Public Offering

July 29, 2024,NOVI, Mich., United States : Lineage, Inc. (the “Company”) (Nasdaq: LINE) today announced the closing of its underwritten initial public offering of 56,882,051 shares of its common stock at a public offering price of $78.00 per share. The net proceeds from the offering were approximately $4.2 billion, after deducting underwriting discounts and commissions and estimated expenses payable by the Company. The Company intends to use the net proceeds received from the offering to repay borrowings outstanding under its delayed draw term loan, repay borrowings outstanding under its revolving credit facility, fund one-time cash grants to certain of its employees in connection with this offering and estimated cash to pay tax withholding obligations associated with stock grants and redeem its Series A preferred stock. Following such uses, the Company expects to use the remaining net proceeds for general corporate purposes, which may include the repayment of additional borrowings outstanding under its revolving credit facility.

The Company’s common stock began trading on the Nasdaq Global Select Market on July 25, 2024, under the ticker symbol “LINE”.

Morgan Stanley, Goldman Sachs & Co. LLC, BofA Securities, J.P. Morgan and Wells Fargo Securities acted as joint lead book-running managers for the offering. RBC Capital Markets, LLC, Rabo Securities USA, Inc., Scotia Capital (USA) Inc., UBS Securities LLC, Capital One Securities, Inc., Truist Securities, Inc., Evercore ISI, Robert W. Baird & Co. Incorporated, KeyBanc Capital Markets Inc., Mizuho Securities USA LLC, PNC Capital Markets LLC, Deutsche Bank Securities Inc., CBRE Capital Advisors, Inc., HSBC Securities (USA) Inc., Piper Sandler & Co. and Regions Securities LLC acted as joint book-running managers for the offering. Blaylock Van, LLC, Cabrera Capital Markets LLC, C.L. King & Associates, Inc., Drexel Hamilton, LLC, Guzman & Company, Loop Capital Markets LLC, Roberts & Ryan Investments, Inc. and R. Seelaus & Co., LLC acted as co-managers.

A registration statement relating to these securities was declared effective by the U.S. Securities and Exchange Commission on July 24, 2024. The offering was made only by means of a prospectus. Copies of the final prospectus related to this offering may be obtained from Morgan Stanley, Prospectus Department, 180 Varick Street, New York, New York 10014, or email: prospectus@morganstanley.com; Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, New York 10282, telephone: 1-866-471-2526, facsimile: 212-902-9316, or email: prospectus-ny@ny.email.gs.com; BofA Securities, NC1-022-02-25, 201 North Tryon Street, Charlotte, North Carolina 28255-0001, Attention: Prospectus Department, email: dg.prospectus_requests@bofa.com; J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 or by email at prospectus-eq_fi@jpmchase.com and postsalemanualrequests@broadridge.com; and Wells Fargo Securities, 90 South 7th Street, 5th Floor, Minneapolis, MN 55402, at 800-645-3751 (option #5) or email a request to WFScustomerservice@wellsfargo.com.

Uniqus Consultech Launches Its Tech Consulting Practice

July 29, 2024, Mumbai, Maharashtra, India : Uniqus Consultech Inc., a tech-enabled global platform that offers consulting solutions in the accounting & reporting, finance operations, governance, risk, and ESG domains, today announced the launch of its Tech Consulting practice.

Based on interactions with its clients across the globe, Uniqus has identified four challenges faced by business leaders as they seek to harness the power of technology. First, disparate multiple systems within an organization impair the ability to productively obtain and analyze real-time data for decision making. Second, the fact that data resides in different places poses significant data management and data quality issues. Third, organizations are struggling with ways to practically adopt the power of AI/GenAI to solve real-world problems. Finally, the risk environment has become increasingly complex with heightened cyber and other tech risks – adoption of AI posing an additional level of risk and governance challenges.

Uniqus’ Tech Consulting practice has been designed to address these challenges and will offer four core solutions – Digitization & Automation; Data & Analytics; Artificial Intelligence & Machine Learning and Technology & Cyber Risk.

The Tech Consulting practice will be aided by Uniqus’ existing and future suite of proprietary tech products, including UniQuest (AI-powered research product) and ESG UniVerse (cloud-based ESG solution).

“We are incredibly excited about the launch of our Tech Consulting practice. Our clients across the globe have repeatedly told us about the challenges they face in harnessing the power of technology. The solutions to these challenges are very intuitive but difficult to implement without deep knowledge of underlying domains. Our practice is designed to solve core complex business problems and not just implement technology,” said Jamil Khatri, Co-Founder & CEO, Uniqus Consultech.

“AI and GenAI bring with them immense opportunities. Businesses are trying to find the best use cases to leverage these new technologies, while managing the governance and regulatory challenges that come up. We look forward to partnering with our clients on this journey,” said Abhijit Varma, Global Head of Tech Consulting.

Uniqus’ Tech Consulting practice is based on the core principle of solving business problems holistically by combining deep functional knowledge in the areas of finance, risk, and sustainability with equally deep tech knowledge and experience. Uniqus will deploy its differentiated integrated global delivery model to ensure that clients have access to the best and most cost optimal talent irrespective of geography. Given that Uniqus Tech Consulting is designed as an AI-first practice, it will integrate the power of this new technology for implementing solutions for its clients, while being mindful of the security, privacy, and governance challenges that new technologies bring with them.

Fujirebio Launches the Fully Automated Lumipulse G GFAP Assay for Research Use Only and Further Strengthens its Neuro Test Menu

July 29, 2024,Gent, Belgium & TOKYO, Japan & MALVERN, Pa., United States : H.U. Group Holdings Inc. and its wholly-owned subsidiary Fujirebio today announced the availability of the Lumipulse G GFAP assay for the fully automated, random-access LUMIPULSE® G immunoassay systems. The Research Use Only (RUO) assay is now available in the United States, and it will be available in Japan, Europe and other regions* as of September this year. The Chemiluminescent Enzyme Immunoassay (CLEIA) test allows for the quantitative measurement of glial fibrillary acidic protein (GFAP) in human plasma and serum in just 35 minutes.

“In 2023 we already introduced two new important neuro assays for RUO-based detection of Neurofilament Light (NfL) and pTau 217,” said Goki Ishikawa, President and CEO of Fujirebio Holdings, Inc. “We continue our engagement in biomarker-based testing for neurological diseases with the Lumipulse G GFAP, affirming our commitment to play an essential partnering role in both research and clinical routine.”

The Lumipulse G GFAP assay will allow the scientific community and clinical research professionals to further study and understand the potential clinical utility of this promising astrocytic biomarker for neurological conditions such as multiple sclerosis, Alzheimer’s disease, Parkinson’s disease, and brain-related acute traumatic injuries or stroke.1

With the fully automated random-access LUMIPULSE G platform, professionals will be able to measure GFAP in a user-friendly and reliable way. This standardized immunoassay platform is already widely available in labs for routine and research testing of neurological disease-related biomarkers. The new assay meets the necessary quality, throughput, and regulatory requirements to support potential routine testing of GFAP in combination with other tests from the Fujirebio neuro biomarker menu.

Moravian Church Settlements Across Four Countries Inscribed on the UNESCO World Heritage List

July 29, 2024,New Delhi, Delhi, India : Today, J. William Reynolds, Mayor of the City of Bethlehem, and Chair of the Bethlehem World Heritage Commission — speaking on behalf of all four historic Moravian communities — announced that Moravian Church Settlements has been inscribed on the prestigious World Heritage List at the World Heritage Committee meeting in New Delhi, India, July 21-31, 2024.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240726407698/en/

Moravian Church Settlements Delegation at the World Heritage Committee meeting. Pictured here (from left) are Jean Manes, U.S. Deputy Representative to UNESCO; Moravian University President Bryon L. Grigsby; Bethlehem Mayor J. William Reynolds; Johnathan Putnam, Acting Chief, Office of International Affairs National Park Service; Rt. Rev. Chris Giesler; Mr. Clemens, Saxon State Minister of the Chancellery (Photo: Business Wire)
Moravian Church Settlements Delegation at the World Heritage Committee meeting. Pictured here (from left) are Jean Manes, U.S. Deputy Representative to UNESCO; Moravian University President Bryon L. Grigsby; Bethlehem Mayor J. William Reynolds; Johnathan Putnam, Acting Chief, Office of International Affairs National Park Service; Rt. Rev. Chris Giesler; Mr. Clemens, Saxon State Minister of the Chancellery (Photo: Business Wire)

The historic Moravian Church Settlements of Bethlehem, Pennsylvania/USA; Gracehill, Northern Ireland/UK; and Herrnhut, Germany now join Christiansfeld, Denmark (already inscribed in 2015) as a single World Heritage site that represents the outstanding universal value of these historic settlements and the worldwide influence of the Moravian Church.

“We would like to express our appreciation to our respective governments of the United States, Denmark, Germany, and Northern Ireland/UK for their efforts on behalf of Moravian Church Settlements,” said Mayor Reynolds.

More information can be found on moravianchurchsettlements.org, launching today.

Moravian Church Settlements is a transnational extension of Christiansfeld, a Moravian Church Settlement in Denmark founded in 1773 and inscribed on the World Heritage List in 2015. The Moravian Church is a Protestant denomination in the free church tradition centered in Herrnhut, Saxony, Germany. The extension includes three additional component parts:

Bethlehem (USA) was established in the Commonwealth of Pennsylvania in 1741. This highlights the early transatlantic dimension of the Moravian Church phenomenon during a prolific settlement-building decade and added the cultural dimension of the Moravians’ outreach to Native Americans.

Gracehill (UK) was founded in Northern Ireland in 1759. It represents the significance of the Moravian Church in the UK and exemplifies a unique series of ‘ideal’ urban plans that demonstrate a notable gender axis. This is showcased by the division of the town plan into a sisters’ side and a brothers’ side, which directly reflects the fundamental functional structure of Moravian society.

Herrnhut (Germany) is considered the ‘mother’ or ‘founding town’ of the Renewed Moravian Church. It was established in 1722 in Saxony and evolved in line with the development of Moravian theology and societal ideals. This town defined the principles of all Moravian Church settlements.

Signify Illuminates 60+ Tribal Villages in Parvathipuram Manyam, Andhra Pradesh, Touching Over 17,000 Lives

29th July 2024  Andhra Pradesh, India Signify the world leader in lighting, has illuminated 61 tribal and marginal villages in Parvathipuram Manyam district, Andhra Pradesh, with energy-efficient LED street lighting to enhance the safety of local citizens. The project was executed in partnership with a grassroots NGO, Jana Kalyana Samakhya as part of the company’s ‘Har Gaon Roshan’ CSR program, which focuses on sustainable rural development and women’s safety across India.

The project is contributing to enhancing the safety and security of the local community, allowing them to conduct regular meetings to discuss their issues. The illuminated streets have reduced the risk of human-wildlife conflict cases, providing more time for economic & livelihood activities, allowing children to do more outdoor activities, and enhancing women’s safety.

The initiative has brought about a favorable transformation for more than 16,500 villagers and over 3,900 households with over 700 high-quality energy-efficient outdoor streetlights.

Commenting on the project, Nikhil Gupta, Head of Marketing, Strategy, Govt. Affairs & CSR – Signify, Greater India said, “Our CSR strategy and initiatives resonate with our brand purpose which is to unlock the extraordinary potential of light for brighter lives and a better world. We are strongly committed to our CSR initiatives and our vision for developing underprivileged diverse communities. We are proud to have partnered with Jana Kalyana Samakhya on this project, helping improve lives in the tribal villages of Andhra Pradesh.”

“Working with Signify aligns with our greater goals and together we have impacted the lives of people living in these tribal villages, providing them with access to clean and energy-efficient street lighting solutions. We appreciate Signify’s efforts towards enhancing the safety of the local people,” said Mr. Nidhil Varghese, CEO Jana Kalyana Samakhya.

This project is set to leverage technology and innovation for isolated communities by providing essential services such as lighting solutions to brighten the path to a brighter future.

Charitable Foundation ‘Amogh’ to Organize Musical Event Sur Samvaad in Bengaluru to Raise Awareness on Autism During World Autism Month

29th July 2024  Bengaluru, Karnataka, India  Amogh, a charitable foundation empowering young adults with special needs, is organizing ‘Sur Samvaad’- a musical evening to commemorate World Autism Month. The event will take place from 4 PM onwards on April 19, 2024, Friday, at the Bangalore International Centre in Domlur, Bengaluru. The event will begin with an awareness interaction on Autism Spectrum led by Ms. Hema Jayaram, Co-founder, WeCAN- Autism Center. Classical singer Smt. Kruthi Vittal will be performing an immersive music concert, accompanied by Shri. Vittal Rangan on the violin and Shri. B S Prashanth on the mridangam. Those interested in attending the event can book their seats by visiting amoghtrust.com/event/autism-awareness-month/.

‘Sur Samvaad’ is set to attract music enthusiasts from across the city. Smt. Kruthi Vittal, who has showcased her exceptional talent in Indian Classical music on esteemed stages worldwide, will take center stage at the concert. Shri. Vittal Rangan, an acclaimed violinist with a decade-long music career will be on the violin and Shri. B S Prashanth, who has performed with renowned artists in musical concerts, will be on the mridangam.

This event is organized by Amogh, a charitable foundation aiming to provide appropriate support to different segments of society, especially in areas of dignified living, life skills, and work skills acquisition. World Autism Month focuses on increased understanding and acceptance of people with autism by fostering worldwide support and highlighting the contributions of individuals with autism. Amogh is marking this occasion by raising awareness on the importance of empowering people with autism.

Amogh was founded in 2012 by Ms. Jayashree Vaitheeswaran, Ms. Akhila Krishnamurthy, and Mr. Krishnamurthy M A.

Established as a result of the founders’ deep commitment to empowering people with special needs, Amogh strives to provide an enabling environment to different segments with the goal of helping them fulfill their aspirations.

Speaking on the occasion, Ms. Jayashree Vaitheeswaran, Co-Founder & Managing Trustee, Amogh said, “Amogh is built on the premise that every human being dreams of a meaningful life and aspires for an environment that encourages each one to pursue one’s personal vision, gain appreciation, and achieve recognition. With Amogh, every day is new, and every day is an enriching experience. Since its inception, Amogh has come a long way in enabling a positive environment for people with special needs and we are committed to pursuing our mission with the same passion in the years to come. We are delighted to be organizing ‘Sur Samvaad’- an evening combining awareness on Autism and a grand musical concert.”

TVS Motor Company Wins Top Honours in 7 Out of 10 Categories in the J.D. Power 2024 India Two-wheeler IQS and APEAL Studies

29th July 2024  Bengaluru, Karnataka, India  TVS Motor Company (TVSM) – a leading global automaker that operates in the two and three-wheeler segments – is proud to announce its achievements in the J.D. Power 2024 India Two-Wheeler Initial Quality Study. The study results underscore TVSM’s commitment to delivering exceptional product quality.

K N Radhakrishnan, Director & CEO, TVS Motor Company, said, “Securing the top position across multiple product segments demonstrates the customer’s confidence in our products. Ownership experience, product quality, cutting edge technology, aesthetics and appeal leading to customer delight are subjects of immense focus for us. My sincere appreciation for our dealer partners for the efforts they put in on a daily basis. My congratulations and thanks to the TVS Motor team and our supplier partners. Above all, we remain indebted to our customers for their trust and encouragement.”

India IQS Awards

In the Two-Wheeler Initial Quality Study (IQS), which evaluates the quality of two-wheelers within the first six months of ownership, several models from the company have emerged as top-performers.

• TVS Jupiter 125 is the #1 Executive Scooter in Initial Quality.
• It is also the #2 Economy Scooter in Initial Quality.
• TVS Radeon is the #1 Economy Motorcycle in Initial Quality.
• TVS Apache RTR 160 2V is the #1 Premium Motorcycle in Initial Quality.
• TVS Raider is the #2 Executive Motorcycle in Initial Quality.

India APEAL Awards

The company’s commitment to innovation and excellence is also demonstrated through its outstanding performance in the J.D. Power 2024 India Two-Wheeler APEAL Study, earning four out of the five awards presented.

• TVS Jupiter is the most Appealing Economy Scooter.
• TVS Radeon is the most Appealing Economy Motorcycle.
• TVS Raider is the most Appealing Executive Motorcycle.
• TVS Apache RTR 2V is the most Appealing Premium Motorcycle.
• TVS NTORQ is the second most Appealing Executive Scooter.

TVS Motor has established itself as an industry leader, with its products capturing four out of five segment awards. It is now the world’s third most valued company by market cap and the world’s fourth largest two-wheeler and three-wheeler manufacturer.

J.D. Power is a global leader in consumer insights, AI-driven analytics, and advisory services. J.D. Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on J.D. Power to guide their customer-facing strategies. J.D. Power has offices in North America, Europe and Asia Pacific. With the latest results, TVS Motor Company has now secured 7 J.D. Power model awards further demonstrating its reputation in the industry.