Indiabulls Housing Finance Q2 profit up by 26%

Disbursals grew by 41.8% to Rs 9,504.2 crore and NII was up by 27.1% to Rs 1,389.5 crore in the first quarter

Indiabulls Housing Finance saw a rise in net profit in the September quarter helped by expansion in loan book and rise in the net interest income (NII).

The non-banking finance company (NBFC) reported a profit of Rs 861.1 crore for the quarter against Rs 684.3 crore in year-ago quarter, a rise of 26 per cent. Disbursals grew by 41.8 per cent to Rs 9,504.2 crore and NII was up by 27.1 per cent to Rs 1,389.5 crore in the first quarter.

Asset quality improved with gross non-performing loans at 0.78 per cent and net non-performing assets at 0.31 per cent as on June 2017, against 0.83 per cent and 0.34 per cent, respectively, for the previous-year quarter. Total loan assets crossed Rs 1 lakh crore and balance sheet size grew by 26.7 per cent to Rs 1.15 lakh crore on September 2017. The spread on stock of loans expanded to 325 bps by 5 bps from the year-ago quarter. 

Gagan Banga, MD, Indiabulls, said that the NBFC plans to increase its loan book by 30 per cent, about Rs 28,000 crore by the full year. It has raised Rs 16,000 crore during the first half of the year and plans to raise Rs 20,000 crore in the second half.