PNB Housing Finance Q1 net up 11 pc at Rs 285 cr

PNB Housing Finance on Tuesday said its net profit rose 11 per cent to Rs 284.50 crore during the first quarter of the current fiscal year.

The company had posted a net profit of Rs 255.80 crore in the corresponding April-June quarter of 2018-19.

Total income for April-June quarter of 2019-20 increased to Rs 2,232.58 crore from Rs 1,648.31 crore in the same period of the previous fiscal, PNB Housing Finance said in a release.

Net interest income registered a growth of 45 per cent to Rs 625.50 crore from Rs 432.8 crore.

The company's net interest margin -- a key gauge of profitability -- rose to 3.14 per cent in June quarter from 2.74 per cent a year ago, it said.

Gross non-performing assets (NPA) stood at 0.85 per cent of the loan assets as on June 30, 2019 as against 0.43 per cent as on June 30, 2018. At Asset Under Management (AUM) level, gross NPA was at 0.76 per cent.

Net NPA stood at 0.67 per cent of the loan assets as against 0.33 per cent last year.

The cumulative ECL (expected credit loss) provision as on June 30, 2019 was Rs 598 crore. In addition to the ECL provision, the company has Rs 156.5 crore as a steady state provision for unforeseeable macro-economic factors, it said.

Total provision to assets stood at 0.99 per cent as on June 30, 2019 compared with 0.74 per cent on June 30, 2018, it further said.

The company's disbursements stood at Rs 7,634.3 crore during June quarter as compared with Rs 9,767.3 crore in the same quarter last year.

Its corporate disbursement fell 81 per cent to Rs 604.5 crore from Rs 3,172 crore.

The AUM stood at Rs 88,332.9 crore as on June 30, 2019, up from Rs 68,577.5 crore a year ago.

"Amidst the macro economic challenges, the company continued to register growth across business and financial vectors. In the current environment, we are cautious on lending to corporate houses and focusing more on retail business, cost efficiencies, maintaining adequate liquidity, diversified borrowings and healthy asset quality across segments," PNB Housing Finance Managing Director Sanjaya Gupta said.

To be adequately capitalised for the future, the board has approved the capital raise plan to raise up to Rs 2,000 crore during the current fiscal, Gupta said.

Shares of PNB Housing Finance on Tuesday closed at Rs 720.65 on the BSE, up 3.07 per cent from previous close.