Five-Star Business Finance Ltd (NSE:FIVESTAR)

Q4 2025 Five-Star Business Finance Ltd Earnings Call Transcript

Apr 30, 2025 / 04:30AM GMT

Release Date Price: ₹705.95 (-6.43%)

Transcript

Key Points

Positve

Five-Star Business Finance Ltd (BOM:543663) reported a commendable performance with a 23.20% year-on-year growth in assets under management (AUM), reaching INR 11,877 crores.
The company achieved a significant milestone by recording a profit after tax of INR 1,073 crores, marking a 28% increase from the previous year.
The cost of borrowing has decreased, with the incremental cost of funds dropping to 9.29% from 9.56%, indicating improved lender confidence.
Five-Star Business Finance Ltd (BOM:543663) has expanded its branch network, opening 19 new branches in Q4, bringing the total to 748 branches.
The company has maintained a strong liquidity position with a buffer of INR 2,300 crores and unavailed sanction lines of INR 100 crores.

Negative

Collection efficiency dropped slightly to 97.7% in Q4 from 98% in Q3, partly due to disruptions in Karnataka.
The gross non-performing assets (NPA) increased from 1.62% to 1.97% in Q4, with Karnataka disruptions contributing to this rise.
There is a concern about over-leverage in the market, particularly affecting small-ticket lenders and unsecured loans.
The company anticipates a slower earnings growth of 12-15% for FY26 due to the impact of reduced yields.
The regulatory environment remains challenging, with potential disruptions from new ordinances in states like Tamil Nadu.

Operator

Ladies and gentlemen, good day and welcome to Five-Star Business Finance Ltd Q4 and a FY25 earnings conference call hosted by Motilal Oswal Financial Services Limited. (Operator Instructions)

Please know that this conference is being recorded. I now hand the conference over to Mr. Abhijit Tibrewal from Motilal Oswal Financial Services Limited.

Thank you and over to you, sir.

Abhijit Tibrewal

Motilal Oswal Financial Services Limited - Moderator

Yeah, thank you, madam. Good morning, everyone. I am Abhijit Tibrewal from Motilal Oswal Financial Services Limited, and it is our pleasure to welcome you all to this earnings call.

Thank you very much for joining us for the Five-Star Businessman's call to discuss their Q4F 525 earnings. To discuss the company's earnings, I'm pleased to welcome Mr. Lakshmipathy Deenadayalan, Chairman and managing director, Mr. Rangarajan Krishnan, joint managing director and CEO. Mr. Srikanth Gopalakrishnan, joint managing director and CFO, on behalf of Motilal Oswal Financial Services Limited, we thank the

Already have an account? Log in

Get the full story

Subscribe Now

	Access to All Earning Calls and Stock Analysis
	30-Year Financial on one screen
	All-in-one Stock Screener with unlimited filters
	Customizable Stock Dashboard
	Real Time Insider Trading Transactions
	8,000+ Institutional investors’ 13F holdings
	Powerful Excel Add-in and Google sheets Add-on
	All data downloadable
	Quick customer support
	And much more...

7-Day Free Trial · Cancel Anytime

Subscription fee may be tax deductible.

Excellent

4.6 out of 5

Trustpilot

Research Tools

All-In-One Screener Stock Ideas Stock List Guru List Guru Real-Time Picks Insider List Insider Trades Economic Indicators Sector & Industry Performance DCF Calculator Calculators Discussion Board

Product

Pricing Plans Excel Add-In Google Sheets Add-on Data API Stock Comparison Table Manual of Stocks Instant Alerts Mobile App Newsletters Signup 中文

Education

Financial Glossary Tutorials FAQ Buffett Indicator Shiller P/E Yield Curve Today U.S. Inflation Rate Global Market Valuation Fed Net Liquidity Buffett Assets Allocation

Company

About GuruFocus Career Contact Us Advertise Term of Use Privacy Policy Referral Program Partner Program

Survey

We'd love to learn more about your experiences on GuruFocus.com and how we can improve!

Take Survey

Disclaimers

GuruFocus.com is not operated by a broker or a dealer. Under no circumstances does any information posted on GuruFocus.com represent a recommendation to buy or sell a security. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The individuals or entities selected as "gurus" may buy and sell securities before and after any particular article and report and information herein is published, with respect to the securities discussed in any article and report posted herein. Gurus may be added or dropped from the GuruFocus site at any time. In no event shall GuruFocus.com be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or available on GuruFocus.com, or relating to the use of, or inability to use, GuruFocus.com or any content, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. The gurus listed in this website are not affiliated with GuruFocus.com, LLC. Stock quotes are provided by QuoteMedia, Inc. (CSI). Company fundamental data is provided by Morningstar. Analyst estimates data is sourced from both Refinitiv and Morningstar, with priority given to Refinitiv data. Data is updated daily.