LIC Housing Finance Q1 results: Net profit down 2% at Rs 1,300 crore

LIC Housing Finance has reported a net profit of Rs 1,300 crore, 2 per cent lower than the year-ago period owing to a drop in net interest income.

The net interest income (NII) declined by 10 per cent in Q1 FY25 to Rs 1,989.08 crore, as against Rs 2,209.44 crore for the corresponding period a year ago. The net interest margin (NIM) for the quarter stood at 2.76 per cent as against 3.15 per cent for Q1 FY24.

Total disbursements were at Rs 12,915 crore in Q1 FY25, as against Rs 10,856 crore for the corresponding period in FY24. Out of this, disbursements in the individual home loan segment were at Rs 10,932 crore as against Rs 9,419 crore in Q1 FY24. Project loans were at Rs 521 crore as compared with Rs 251 crore in Q1 FY24.

The individual home loan portfolio stood at Rs 2.46 trillion as on June 30, 2024, as against Rs 2.31 trillion as on June 30, 2023, up by 7 per cent. The project loan portfolio stood at Rs 8,099 crore as on June 30, 2024, as against Rs 11,321 crore as on June 30, 2023. The total outstanding portfolio grew by 4 per cent to Rs 2.88 trillion from Rs 2.76 trillion in Q1 FY24.

The provisions for expected credit loss (ECL) stood at Rs 5,670.07 crore as on June 30, 2024, as against Rs 7,590.68 crore as on March 31, 2023. The Stage-3 exposure at default as of June 30, 2024, stood at 3.30 per cent as against 4.37 per cent as of June 30, 2023.

In terms of asset quality, its gross non-performing assets (NPA) ratio improved to 3.21 per cent from 3.31 per cent in the previous quarter (Q4 FY24). However, the net NPA ratio increased marginally to 1.68 per cent compared to 1.63 per cent in the previous quarter.