The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Rohan Mandora - Equirus Securities Private Limited, Research Division - Analyst
: Sir, if we look at AU Bank, it has had certain strengths in its business model, which has enabled you to deliver strong performance over the years.
So I just want to understand when you're evaluating this transition of Fincare, what as per you are the key strengths in the business model of Fincare
other than the complementary geographical presence and MFI book that comes in? So on the core business understanding perspective, if there's
something which differentiates Fincare? That was one.
And second, sir, associated second question here is that we have been following a continuous expansion strategy as we were expanding geographies.
Now with Fincare, while South geography gets added, but the product profile was relatively different. So we probably don't have that understanding
of the geography. So does this expansion, will it take time to drive operating synergies? Or how should one look at it from that angle? This was the
first question.
Question: Rohan Mandora - Equirus Securities Private Limited, Research Division - Analyst
: So maybe you can reply that and then I'll take the second one.
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OCTOBER 30, 2023 / 2:15AM, AUFI.NS - Q2 2024 AU Small Finance Bank Ltd Earnings Call
Question: Rohan Mandora - Equirus Securities Private Limited, Research Division - Analyst
: Sir, on the contiguous expansion piece?
Question: Rohan Mandora - Equirus Securities Private Limited, Research Division - Analyst
: Sure. Sir, the reason I was asking the question is that like if you look from SFB, they have slippages that are up around 7%, 18% and 7% in '21, '22,
'23. But if you look at AU, historically, you've had category-leading performances. So nothing stands out is what I got as the initial field in fin --
microfinance business. So that's where I was asking this question.
And second thing, sir, in the presentation, we have made a comment that the management continues to focus on seamlessly executing our strategy
till '27. So does that mean that we are comfortable operating as an SFB till '27? How should we read that statement?
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