Housing Development Finance Corporation (HDFC) has reported 46.25 per cent year-on-year growth in its standalone net profit at Rs 3,203.10 crore for the first quarter ended June 30, 2019, aided by one-time gain of Rs 1,894.21 crore from stake sale in Gruh Finance, which is in the process of merger with Bandhan Bank.
"The housing finance company had posted a net profit of Rs 2,190 crore in the same quarter previous fiscal," HDFC said in a filing to the Bombay Stock Exchange.
HDFC has sold nearly 10 per cent stake in its subsidiary Gruh Finance Ltd (Gruh), under the RBI directives to bring down the holding in the subsidiary firm for the proposed merger into Bandhan Bank.
The total revenue from operations rose by 30.6 per cent to Rs 12,990 crore in Q1FY20 from Rs 9,947.4 crore in Q1FY19, the mortgage lender said in a regulatory filing.
Net interest income (NII) for April-June period of current fiscal increased to Rs 2,739 crore compared to Rs 2,562 crore in the same quarter last year. Net interest margin remained flat at 3.3 per cent.
Earnings before interest, tax, depreciation and amortisation (EBITDA) stood at Rs 11,753.61 crore against Rs 9,435.66 crore in the year ago period, registering an increase of 24.56 per cent on yearly basis.
HDFC's loan book jumped 11.2 per cent YoY to Rs 4.16 lakh crore. For asset quality, HDFC saw its gross non-performing assets (NPAs) rising marginally to 1.29 per cent on a quarterly basis.
HDFC's board has also approved proposal to raise Rs 45,000 crore through issuance of secured redeemable non-convertible debentures in one or more tranches, the company said. "This will be done on a private-placement basis subject to approval of shareholders at the annual general meeting."
Reacting to Q1 earnings, shares of HDFC closed 1.75 per cent higher at Rs 2,124.10 apiece on the Bombay Stock Exchange on Friday.
Edited by Chitranjan Kumar