Bajaj Housing Finance Q3 results: PAT up 25% at Rs 548 cr NII rises 25%

Bajaj Housing Finance reported a 25 per cent jump in third-quarter profit on Monday, bolstered by strong credit growth.

The country's biggest home loan financier by market value reported a profit of Rs 548 crore ($63.5 million) for the three months ending December 31, compared to Rs 437 crore a year ago.

Demand for homes in India, especially premium residences, has remained strong over the last few quarters, which form a key part of Bajaj Housing Finance's assets.

Residential real estate prices are set to rise steadily over the next few years, driven by demand luxury properties from cash-rich individuals, according to a Reuters poll of housing experts.  ALSO READ: Tata Steel Q3 result: Net profit drops 43% to Rs 295 cr due to lower income

Last week, smaller rival PNB Housing Finance reported a 43 per cent jump in third-quarter profit, driven by robust demand for home loans.

Bajaj Housing's loan assets rose 31 per cent year-on-year to Rs 9,557 crore, while its assets under management climbed 26 per cent to 1.08 trillion rupees.

Net interest income, the difference between interest earned and paid, rose 25 per cent to Rs 806 crore.

Its asset quality remained sequentially steady, with gross bad loans as a percentage of total loans standing at 0.29 per cent at the end of December. On a year-to-year basis, however, it was a marginal decline from 0.25 per cent.  ALSO READ: Emami Q3 result: Profit up at 7% to Rs 279 cr, revenue rise to Rs 1,049 cr

The company shares ended 3 per cent lower ahead of the results, amid weakness in the broader equity market.

($1 = 86.2850 Indian rupees)

 

(Reporting by Nishit Navin; Editing by Varun H K)