HDB Financial Services

HDB Financial Services ROCE

The Return on Capital Employed (ROCE) of HDB Financial Services (HDBFS.NS) as of Nov 1, 2026 is 45.75 %. In the previous year, Return on Capital Employed (ROCE) was 53.35 % — a change of -14.26% (lower).

ROCE

45.75 %

YoY

-14.26%

Last updated:

In 2026, HDB Financial Services's return on capital employed (ROCE) was 45.75 %, a -14.26% increase from the 53.35 % ROCE in the previous year.

The HDB Financial Services ROCE history

  • 3 Years

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  • Max

ROCE
Date
ROCE
Jan 1, 2023
51.67 INR
Jan 1, 2024
51.17 INR
Jan 1, 2025
53.35 INR
Jan 1, 2026
45.75 INR
The HDB Financial Services ROCE history
YEARROCEYoY
45.75 %-14.26%
53.35 %+4.26%
51.17 %-0.97%
51.67 %—

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HDB Financial Services Stock analysis

What does HDB Financial Services do? HDB Financial Services Ltd. generates revenue through its diverse portfolio of loan products and insurance services. The company offers Enterprise Lending products including business loans, loan against property (LAP), enterprise business loan (EBL), salaried personal loans (SPL), and gold loans. Asset Finance provides commercial vehicle loans, construction equipment loans, and tractor loans. Consumer Finance includes Relationship Personal Loans and Auto Loans. The firm also provides business process outsourcing (BPO) services like back-office support, collection, and sales support to its promoter, alongside fee-based insurance product distribution primarily to its lending customers. HDB Financial Services targets a broad customer base across its three business verticals. Enterprise Lending serves businesses and salaried individuals seeking personal loans, while Asset Finance caters to commercial vehicle and equipment financing needs. Consumer Finance focuses on relationship-based personal loans and auto financing for individual customers. Insurance products are distributed as fee-based services to existing lending customers, enhancing cross-selling opportunities. The company's revenue streams are derived from interest on loans across all segments, fees from BPO services, and commissions from insurance product distribution. Enterprise Lending customers include businesses and salaried individuals, Asset Finance clients are commercial vehicle and equipment users, and Consumer Finance serves individual borrowers. Insurance distribution targets the company's established lending customer base, creating a synergistic revenue model. HDB Financial Services is one of the most popular companies on Eulerpool.

ROCE Details

Unraveling HDB Financial Services's Return on Capital Employed (ROCE)

HDB Financial Services's Return on Capital Employed (ROCE) is a financial metric that measures the company's profitability and efficiency with respect to the capital employed. It is calculated by dividing earnings before interest and tax (EBIT) by the employed capital. A higher ROCE indicates that the company is effectively utilizing its capital to generate profits.

Year-to-Year Comparison

Analyzing HDB Financial Services's ROCE annually provides valuable insights into its efficiency in using its capital to generate profits. An increasing ROCE indicates improved profitability and operational efficiency, whereas a decrease might signal potential issues in capital utilization or business operations.

Impact on Investments

HDB Financial Services's ROCE is a critical factor for investors and analysts for evaluating the company’s efficiency and profitability. A higher ROCE can make the company an attractive investment, as it often signifies that the firm is generating adequate profits from its employed capital.

Interpreting ROCE Fluctuations

Changes in HDB Financial Services’s ROCE are attributed to variations in EBIT or the capital employed. These fluctuations offer insights into the company’s operational efficiency, financial performance, and strategic financial management, assisting investors in making informed investment decisions.

Frequently Asked Questions about HDB Financial Services stock

Return on Capital Employed (ROCE) of HDB Financial Services is 45.75 % in 2026.

Return on Capital Employed (ROCE) of HDB Financial Services changed from 53.35 % to 45.75 %, representing a -14.26% change. The value is lower than the previous year.

On Eulerpool you can find the complete historical development of Return on Capital Employed (ROCE) HDB Financial Services since 2006 – with annual values, charts, and detailed analysis.

ROCE is a profitability measure and stands for Return on Capital Employed or the return on invested capital. The measure shows the ratio of operating profit to the interest-bearing capital employed. The higher the return on capital employed, the more profitable a company operates and the higher the important free cash flow. The free cash flow refers to the portion of profits that is not needed for expanding the company at the end of a period, but is available to shareholders.

A 'good' varies by industry and company stage. On Eulerpool, you can compare Return on Capital Employed (ROCE)'s HDB Financial Services with sector peers and the industry average to assess whether it is attractive.

To evaluate Return on Capital Employed (ROCE)'s, it is essential to compare it with peers in the same industry and sector. On Eulerpool, you can find direct industry comparisons for Return on Capital Employed (ROCE).

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Profitability — HDB Financial Services

All Key Metrics — HDB Financial Services