HDFC posts profit before tax of Rs 3,905 cr in Q1

Non-banking finance company Housing Development Finance Corporation (HDFC) on Monday reported a profit before tax of Rs 3,905 crore for the quarter ended June 30 compared to Rs 3,607 crore in the previous year.

Profit after tax for the quarter stood at Rs 3,001 crore. Net interest income for Q1 FY22 was up 22 per cent to Rs 4,147 crore from Rs 3,392 crore in Q1 FY21.

Individual loan disbursements grew 181 per cent over the corresponding quarter of previous year. Growth in home loans was seen in both affordable housing segment and high-end properties.

The company said there was a preference for ready to move in properties compared to under construction properties.

"The demand for home loans continues to remain strong and disbursements have picked up with the unlocking of respective locations."

HDFC said while disbursements during April and May were somewhat impacted, business has reverted to normalised trends in the months of June and July. In fact, July disbursements were the highest ever in a non-quarter end month.

The average size of individual loans stood at Rs 30.9 lakh as compared to Rs 29.5 lakh in FY21.

As on June 30, HDFC's assets under management (AUMs) stood at Rs 5.74 lakh crore as against Rs 5.31 lakh crore in the previous year. Individual loans comprise 78 per cent of the AUMs.

On an AUM basis, the growth in the individual loan book was 14 per cent and growth in the total loan book was 8 per cent.

HDFC said individual NPAs increased due to slippages on account of the impact of the second wave of the pandemic. Collection efforts were hindered due to the recovery teams being unable to do field visits during the lockdown period.

( With inputs from ANI )