Housing Development Finance Corporation Ltd announces Financial Results for Half-year Ended September 30, 2009
Mumbai, October 12, 2009:
The Board of Directors of Housing Development Finance Corporation Limited (HDFC) announced the results for the first half of the financial year 2009-2010, following its meeting on Monday, October 12, 2009 in Mumbai. The accounts have been subject to limited review by the Corporation’s statutory auditors in line with regulatory guidelines.
FINANCIAL RESULTS
Financials for the Quarter ended September 30, 2009
For the quarter ended September 30, 2009, HDFC reported a profit before tax of Rs. 912.94 crore as against Rs. 759.98 crore in the corresponding quarter of the previous year – an increase of 20%.
After providing Rs. 249 crore for taxes, the net profit after tax for the quarter ended September 30, 2009 amounted to Rs. 663.94 crore as compared to Rs. 534.23 crore in the corresponding quarter last year – an increase of 24%.
Financials for the Half year ended September 30, 2009
For the six months ended September 30, 2009, the profit before tax stood at Rs. 1,692.86 crore as against Rs. 1,409.84 crore in the corresponding period of the previous year – an increase of 20%.
After providing Rs. 464 crore for taxes, the net profit after tax for the six months ended September 30, 2009 increased by 23% to Rs. 1,228.86 crore as against Rs. 1,002.34 crore in the corresponding quarter last year.
TOTAL ASSETS
As at September 30, 2009, the total assets of HDFC stood at Rs. 1,04,544 crore as against Rs. 89,670 crore as at September 30, 2008 – an increase of 17%.
Loan Book
As at September 30, 2009, the loan book stood at Rs. 89,519 crore as against Rs. 81,192 crore in the previous year – an increase of 10%. The Corporation sold loans amounting to Rs. 6,100 crore during the preceding twelve months. Together with the loans sold, the growth in the loan book would have been higher at 18%.
The spread on loans over the cost of borrowings for the half-year ended September 30, 2009 stood at 2.20%.
Investments
As at September 30, 2009 the unrealised gains on HDFC’s listed investments amounted to Rs. 13,311 crores. This excludes the appreciation in the value of unlisted investments.
LENDING OPERATIONS
Approvals And Disbursements
Loan approvals during the six-month period ending September 30, 2009 amounted to Rs. 28,418 crore as compared to Rs. 24,180 crore, in the corresponding period last year, representing a growth of 18%. Loan disbursements during the six-month period ending September 30, 2009 amounted to Rs. 22,342 crore as compared to Rs. 17,788 crore in the corresponding period last year, representing a growth of 26%.
On a sequential quarter basis, the growth in individual loan approvals and disbursements for the second quarter of this financial year has been 26% and 24% respectively as compared to the first quarter ending June 30, 2009.
Non-Performing Loans
Gross non-performing loans as at September 30, 2009 amounted to Rs. 860.21 crore. This is equivalent to 0.95% of the loan portfolio (previous year – 1.04%) comprising loans as well as debentures issued by corporates and corporate deposits placed for financing their real estate projects. This is the nineteenth consecutive quarter end at which the non-performing loans have been lower than the corresponding quarter end in the previous year.
Based on a six months overdue basis, the non-performing loans as at September 30, 2009 stood at 0.60% of the loan portfolio as against 0.62% as at September 30, 2008.
In terms of the prudential norms as stipulated by the National Housing Bank, the Corporation is required to carry a provision of Rs. 362.21 crore in respect of non-performing assets and general provision on outstanding standard non-housing loans.
The balance in the provision for contingencies account as at September 30, 2009 stood at Rs. 671.98 crore, which is equivalent to 0.74% of the portfolio.
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(This is a press release from Housing Development Finance Corporation Limited)
