The country’s largest mortgage financier HDFC Ltd reported an 11.4 per cent jump in its standalone net profit to ₹3,260.69 crore in the third quarter of the fiscal, which has helped by good growth in net interest income as well as lower tax expense. Its net profit was Rs 2,925.83 crore in the third quarter last fiscal.
The net interest income (NII) for the quarter ended December 31, 2021 grew by 7 per cent to ₹4,284 crore compared to ₹4,005 crore in the previous year.
The reported Net Interest Margin was 3.6 per cent as on December 31, 2021 compared to 3.5 per cent as on December 31, 2020.
Tax expenses were lower at ₹787.49 crore in the third quarter of the fiscal versus ₹890.57 crore a year ago.
HDFC Ltd continued to see robust growth for home loans. During the nine months ended December 31, 2021, individual approvals and disbursements grew by 45 per cent and 48 per cent, respectively, compared to the corresponding period in the previous year.
“In December 2021, the Corporation recorded its second highest monthly individual disbursements ever,” it said in a statement on Wednesday.
Assets under management grew by 12.1 per cent on year on year basis to Rs 6,18,917 crore as of December 31, 2021.
Gross non-performing loans rose to ₹12,419 crore by the year-end or 2.32 per cent of the portfolio as against 1.91 per cent as on December 31, 2020. Total provisions were ₹13,195 crore.
As of December 31, 2021, the gross individual non-performing loans stood at 1.44 per cent of the individual portfolio, while the gross non-performing non-individual loans stood at 5.04 per cent of the non-individual portfolio.
“While there has been an increase in the reported NPLs, there has been no financial impact and credit costs have reduced,” HDFC said.
The collection efficiency for individual loans on a cumulative basis witnessed an improvement at an average of 98.9 per cent during the quarter ended December 31, 2021.