Housing Development Finance Corporation (HDFC), leading housing finance provider, on Friday, reported net profit of Rs 31.80 billion in quarter ended March 2021, representing a growth of 42% from Rs 22.33 billion in the same quarter last year.
However, interest income declined 5% to Rs 104.46 billion from Rs 109.63 billion in the corresponding period year ago.
The net interest income (NII) for the quarter ended Mar. 31, 2021 stood at Rs 40.65 billion compared to Rs 35.64 billion in the previous year, representing a growth of 14%. NII for the year ended Mar. 31, 2021 stood at Rs 151.72 billion compared to Rs 129.04 billion in the previous year, representing a growth of 18%.
For the quarter ended Mar. 31, 2021, the consolidated profit after tax stood at Rs 56.69 billion compared to Rs 43.42 billion in the corresponding quarter of the previous year, reflecting a growth of 31%.
"The demand for home loans continued to remain strong owing to low interest rates, softer property prices, concessional stamp duty rates in certain states and continued fiscal incentives on home loans. During the quarter ended Mar. 31, 2021, individual loan disbursements grew by 60% over the corresponding quarter of the previous year. The month of March 2021 witnessed the highest levels in terms individual receipts, approvals and disbursements. Growth in home loans was seen in both, the affordable housing segment as well as high-end properties," HDFC said.
The average size of individual loans disbursed during the year ended Mar.31, 2021 stood at Rs 29.5 lakh compared to Rs 27 lakh in the previous year. There was an uptick in the average ticket size during the quarter ended Mar. 31, 2021 to Rs 31.4 lakh, attributable to the demand for higher end properties, especially in the metro cities. As at Mar. 31, 2021, the loans on an assets under management (AUM) basis stood at Rs 5,69,894 crore as against Rs 5,16,773 crore in the previous year, the country's largest mortgage lender said.
Overall collection efficiency ratios for individual loans have improved, nearing pre-COVID levels. The collection efficiency for individual loans in the month of March 2021 stood at 98% compared to 96.3% in the month of September 2020.
The gross non-performing loans as at Mar. 31, 2021 stood at Rs 97.59 billion. This is equivalent to 1.98% of the loan portfolio. The non-performing loans of the individual portfolio stood at 0.99% while that of the non-individual portfolio stood at 4.77%, HDFC added.
The company's board recommended final dividend of Rs 23 per share, compared to Rs 21 per equity share in the previous year.
Shares of the company gained Rs 65.7, or 2.7%, to settle at Rs 2,496.25. The total volume of shares traded was 224,612 at the BSE (Friday).