LIC HF stock sheds 7.3% as Q2 disappoints, but some silver lining too

Stock fell 7.3% on Friday, but some analysts remain bullish on the firm

LIC Housing Finance (LIC HF) reported a disappointing September quarter (Q2) results, which led to a sell-off on the stock market. Revenues dipped year-on-year (YoY) and quarter-on-quarter (QoQ), while profits fell sharply on account of higher provisioning.

The interest income declined to Rs 4,673 crore in Q2 from Rs 4,938 crore in the corresponding quarter of 2020-21 (FY21), and also lower than Rs 4,825 crore in Q1FY22. The net profits dropped 69 per cent YoY to Rs 247.8 crore, versus Rs 790.9 crore YoY and Rs 153 crore QoQ. Provisioning rose to Rs 639 crore, versus Rs 111 crore YoY, but