Money & Banking

LIC Housing Finance net profit up 35 per cent on lower tax expenses

Our Bureau Mumbai | Updated on October 19, 2019 Published on October 19, 2019

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Total disbursements were down 15 per cent YoY to Rs 12,173

LIC Housing Finance reported a 35 per cent increase in net profit at Rs 772 crore in the second quarter ended September 30, 2019 against Rs 573 crore in the year ago quarter.

The bottomline was boosted by lower tax expenses of Rs 84 crore (against Rs 172 crore in the year-ago quarter) and a 16 per cent increase in net interest income of Rs 1,213 crore (against Rs 1,047 crore in the year-ago quarter).

The total disbursements were down 15 per cent year-on-year (YoY) to Rs 12,173 crore due to sharp fall in project loans.

Out of this, disbursement in the individual home loan segment registered a growth of 16 per cent yoy to Rs. 10,136 crore, whereas project loans were down 85 per cent yoy to Rs. 445 crore.

The total loan portfolio increased 14.5 per cent yoy to stand at Rs. 2,03,037 crore as at September-end 2019.10.19

Net Interest margin for the reporting quarter ended September 30, 2019 was at 2.42 per cent as against 2.41 per cent during the same period previous year.

The provisions for Expected Credit Loss stood at Rs. 2194 crore as on September 30, 2019 as against Rs. 1559 crore as on September 30, 2018.

The Stage 3 exposure at default as on September 30, 2019 was higher at 2.38 per cent as against 1.98 per cent as on June 30,2019.

Siddhartha Mohanty, MD & CEO, said, “Though the external environment continued to be challenging, we have been able to generate good growth in the home loan segment, especially in affordable housing. We are strongly focusing on addressing the asset quality and are confident of controlling it in the coming quarters.”

Published on October 19, 2019
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