HDFC Securities Unlisted Share

Product Offerings of HDFC Securities

HDFC Securities offers 3-in-1 online investment accounts, a combination of an account with HDFC bank and demat and trading services of HDFC Securities. The company offers a host of services to its clients, which include:

Management

Mr. Neeraj Swaroop – Chairman

·Mr. Neeraj Swaroop is an experienced professional with over 40 years in the FMCG industry.

·Ex-Standard Chartered Bank, Ex-HUL, Ex- Ponds India, Ex- Bank of America, Ex-HDFC Bank.

Mr. Dhiraj Relli – MD & CEO

·      A member of the HDFC family since 2008, he has served as Senior Executive Vice President and Head of Branch Banking at HDFC Bank.

·      BCom Hons. from Delhi University, Management program from IIM Bangalore, Chartered Accountant.

Business Overview

FY-23 Highlights

·  92% of 11.5 lakh active customers transact seamlessly on HDFC Securities digital platform.

·  52% of the total brokerage income i.e. ₹414 crores is generated through mobile transactions.

·  HDFC Securities has a widespread distribution network with 209+ branches extended across 147 cities with 11 digital centers in India.

·  More than 89% of the customers are onboarded through digital platform.

·  HDFC Securities MF AUM has grown 17% vs Industry AUM growth of 7% due to increased focus on SIP book and new client participation.

·  Revenue per employee : ₹66.68 lakhs

·  The average book size for FY-23 under MTF stood at ₹3232 crores higher by 8% compared to previous FY-22 (2992 crores). The book size as of 31^st March is positioned at ₹2752 crores.

HDFC Securities new platform – HDFC SKY

A discount broking platform that allows trading and investing at a single price point of Rs 20 similar to other online platforms such as Groww, 5Paisa, and Zerodha. HDFC Sky's USP is its margin trading facility which is available at a 12% interest rate whereas its competitors charge between 18 to 21%. Its target market is Gen-Z, millennials, and new-age investors. HDFC Sky is accessible to everyone, in contrast to HDFC Securities, which restricts demat account opening, trading, and investment to HDFC Bank customers only.

Financial Insights

From FY-20 to FY-22, HDFC Securities profitability increased by 2.5 times, from ₹384 crores to ₹984 crores. Its profits for FY-23 were ₹777 crores, which resulted in consolidation due to sluggish market conditions, inflationary trends, and a higher base. Learn more about the 9M FY24 results of HDFC Securities vs Angel Broking.

Business Segments

 The company derives revenue primarily from the share broking business. Its other major revenue sources are interest income and services income.

Active Client Base

It is evident that while the clientele of 5 paisa & Rksv Securities has significantly decreased, that of Hdfc Securities has remained nearly unchanged. Conversely, Groww's active clientele has increased significantly.

Peer Comparison

-   Financials as of 31^st March, 2023

-   Share Price as of 30^th November, 2023

HDFC Securities IPO Plans

Sources say that HDFC Bank will be looking at the public listing of its brokerage and non-bank finance company subsidiaries only after its merger with parent HDFC Ltd goes through.

Answering shareholder queries at the 28th annual general meeting of the largest private sector lender, its chief executive and managing director Sashidhar Jagdishan said the initial public offering (IPO) plans for HDFC Securities and HDB Financial Services depends on the merger process.

"The IPO plans (of HDFC Securities and HDB Financial Services) are something that we will contemplate after we have absorbed (the merger) we’ve got directions from the regulator, after we absorb as and when the merger happens and then we will think about", Jagdishan said.

HDFC Securities Annual Report 2024

HDFC Securities Annual Report 2023

HDFC Securities Annual Report 2022

HDFC Securities Annual Report 2021

HDFC Securities Annual Report 2020

HDFC Securities Annual Report 2019