HDFC Ltd Q1 results: Net profit rises 22% YoY to Rs 3,669 cr

Mortgage major HDFC Ltd on Friday reported 22.25 per cent year-on-year rise in its standalone net profit at Rs 3,669 crore for the quarter ended 30 June, 2022. The company had reported a net profit of Rs 3,001 crore in the year-ago period.

The mortgage lender's revenue from operations increased 13.5 per cent to Rs 13,240 crore in the quarter under review as against Rs 11,657 crore in the same quarter last fiscal.

The lender's interest income for the quarter increased to Rs 11,964 crore as against Rs 10,523 crore in the same quarter last fiscal.

Moreover, HDFC said that as of June 30, 2022, the assets under management stood at Rs 6,71,364 crore as against Rs 5,74,136 crore in the previous year.
The company's net interest income (NII) for the quarter increased to Rs 4,447 crore as against Rs 4,125 crore in the previous year, and the net interest margin (NIM) came at 3.4 per cent.

"In Q1FY23, interest rate actions have had an immediate impact on borrowing costs, without a simultaneous transmission on the asset side," HDFC stated.

During the quarter, HDFC said that its individual loan disbursements grew by 66 per cent over the corresponding quarter of the previous year. Disbursements during the quarter marked the highest ever disbursements for the corporation in the first quarter of any financial year so far.

It also stated that the demand for home loans and the pipeline of loan applications continues to remain strong. Growth in home loans was seen in both, the middle income segment as well as in high end properties, with 92 per cent of new loan applications received through digital channels.

The average size of individual loans stood at Rs 35.7 lakh compared to Rs 33.1 lakh in FY22. Individual loans comprise 79 per cent of the AUM.

The company also added that on AUM basis, the growth in the individual loan book was 19 per cent, marking the highest percentage growth in 8 years.

On consolidated basis, HDFC's net profit increased marginally by 5 per cent to Rs 5,309 crore as compared with a profit of Rs 5,041 crore a year ago.

Shares of Housing Development Finance Corporation Limited (HDFC) were trading 1.41 per cent higher at Rs 2,368.90 apiece on BSE during late trading hours.