Can Fin Homes net profit rises 11 pc to Rs 81 cr in June quarter

Can Fin Homes Ltd, the housing finance arm of Canara Bank, Monday registered an 11 per cent rise in its net profit to Rs 80.98 crore in the first quarter ended June 30.

The company's net profit during the April-June period of 2018-19 was Rs 73.22 crore.

Its total income during the quarter rose to Rs 484.14 crore as compared with Rs 402.64 crore a year ago, Can Fin Homes said in a regulatory filing.

The firm's outstanding loan book grew 17.4 per cent to Rs 19,003 crore during the quarter from Rs 16,189 crore a year ago.

On asset quality, it witnessed a slight deterioration as the gross non-performing assets (NPAs) grew to 0.73 per cent of the gross advances at the end of June 2019 from 0.66 per cent a year ago. Net NPAs were up at 0.52 per cent from 0.44 per cent.

Can Fin Homes said it has 21 affordable housing loan centres as of now and proposes to add more during the year and will introduce an exclusive 'annual resetting of rate of interest' scheme for the benefit of its customers.

The company also said it plans to make a foray into distribution of insurance products through corporate agency arrangement to generate alternative source on income apart from de-risking its portfolio.

It plans to reach the loan book size of Rs 40,000 crore by March 2022 (compound annual growth rate of 26 per cent) with high asset quality, transparent and best ethical practices and prudent risk management practices.

Shares of the company closed at Rs 375.45 apiece on the BSE, down 3.17 per cent from previous close.