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Indiabulls Housing Finance posted a 26-per cent rise in net profit at ₹602 crore in the third quarter ended December 31, 2015 as against ₹478 crore in the year-ago quarter.
Gagan Banga, Vice-Chairman and Managing Director, said: “The bulk of the profit growth can be attributed to the loan book growing. As we lay more emphasis on the home loan business, we are continuing to see more traction and market share as the market itself is continuing to grow at 18-19 per cent.”
“Our profits are complemented by the change in our borrowing mix. Our bank loans have come down to 50 per cent of our borrowings. On an incremental basis, bank loans account for only 30 per cent of our borrowings. We save almost a 100 basis points when we borrow from other sources. We are also benefiting from lower cost income ratio which is now at 14.4 per cent as against 16.5 per cent in the past year,” Banga added.
The company’s revenues grew 24 per cent to ₹2,308 crore (₹1,855 crore).
Net interest income (NII) grew 30.4 per cent at ₹971.3 crore (₹745 crore). Gross non-performing assets (GNPAs) stood at 0.83 per cent of total advances, while net NPAs were at 0.35 per cent.
Banga said that while there is a slowdown in high-end real estate, other residential properties, the segment in which the company operates, have not seen such an impact.
Shares of Indiabulls Housing Finance closed 0.9 per cent lower at ₹689.15 on the BSE on Wednesday.
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