HDFC Securities, the flagship company of HDFC Group has come up with the annual results for the FY20-21. In the FY20-21, HDFC Securities has clocked revenue of 1400 crores; it was only 862 crores last year in the same period. This has translated into a massive 60% growth in revenue. Total expenses have also gone up to 453 crores as compared to 353 crores last year in the same period.

The main expense of Broking Company is employee salaries, for HDFC Securities it accounted for 17% of total expense in the FY20-21. The PAT has also grown by 83% to reach 700 crores as compared to just 384 crores last year.

Results Snapshot (in Crores)

Euphoria in the market

If we see the market stats carefully in the FY20-21, retail investors have participated big-time as a trader and investor, both.

The WFH has given a lot of retail investors a time to invest in the market. The continuous rise of market is also playing in the mind of investors who are buying stocks as they don't want to miss this opportunity of making easy money. This has resulted into good brokerage income for stock brokers in the market.

HDFC Securities has shown very good numbers in the FY20-21 and touched the EPS of 446. This will translate into P/E of 22x at Rs.10,000 per share in the unlisted market. The listed players like Angel Broking and ICICI Securities are trading at P/E of 15x and 11x on the basis of FY20-21 earnings.

HDFC Securities Results Link