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30-Apr-2025

Fedbank Financial Services

Expects credit cost at 1%, gold and LAP business to grow at 25-30% in FY2026


'Fedbank Financial Services conducted a conference call on 29 April 2025 to discuss the financial results for the quarter ended March 2025. Parvez Mulla, MD & CEO, Fedbank Financial Services of the company addressed the call:

Highlights:

In the previous earnings discussion, the company had highlighted about certain challenges that required immediate attention such as elevated delinquencies in the small mortgage portfolio, collection infrastructure lagging behind business growth

The company will allocate capital to high ROA-ROE businesses and slow down the business loan business and move to a more secured construct.

The company will focus on the twin engine strategy of gold and LAP businesses. Within LAP, the company will focus on a mix of high yield and low-risk businesses.

To address the delinquencies, the company would be investing in strengthening collection infrastructure. The company had then appointed new leade...



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