HDFC Q3 net rises over 16% to Rs.1,537 crore

Housing finance major Housing Development Finance Corporation (HDFC) has reported an over 16 per cent increase in fiscal third quarter (October-December 2012-13) net profit at Rs.1,536.72 crore.

This compares favourably with the September quarter, when growth in net profit was 15.6 per cent.

The spike in net profit was helped by a nearly 22 per cent increase in lending at Rs1,61,000 crore during the April-December 2012-13 period, the country's largest housing finance provider said in a release.

HDFC, which sells its loan portfolios to other lenders, sold Rs5,264 crore individual loans in the last 12 months, which took the combined loan growth to around 25 per cent.

For the nine months ended 31 December 2012, consolidated profit after tax stood at Rs4,556.59 crore against Rs3,685.77 crore in the nine months ended 31 December 2011 – an increase of 24 per cent.

Consolidated profit after tax for the nine months ended 31 December 2012 does not include the charge in respect of the redemption premium on zero coupon debentures amounting to Rs355.49 crore (Rs410 crore for the nine months ended 31 December 2011).

Including this, the profit after tax for the nine months ended 31 December 2012 works out to Rs4,201.10 crore against Rs3,275.77 crore during the nine months ended 31 December 2011, an increase of 28 per cent.

For the April-December 2012-13 period HDFC said its retail home loans rose 85 per cent while the non-individual loans rose 15 per cent.

Spread or margins between loan yields and cost of borrowings stood at 2.27 per cent, little changed from the July-September quarter.

For nine months ended 31 December the spread was at around 2.28 per cent.

Net interest margin (NIM) or the difference between interest earned and paid out, stood at 4.10 per cent against 4.20 per cent as on 30 September 2012.

As of 31 December 2012, total assets of HDFC stood at Rs1,83,770 crore against Rs1,54,036 crore as of 31 December 2011, an increase of 19 per cent.