The non-banking finance company posted 24 per cent year-on-year drop in consolidated net profit at Rs 802 crore in Q1FY20. It had a profit of Rs 1,055 crore in the year-ago quarter.
Net interest income during the quarter declined 13 per cent at Rs 1,475 crore from Rs 1,690 crore in the corresponding quarter of previous fiscal.
The company’s assets quality worsened during the quarter with gross non-performing asset (NPA) ratio rising to 1.47 percent from 0.88 percent in March 2019 quarter. Its net NPA ratio increased to 1.1 per cent from 0.69 per cent in the preceding quarter.
Indiabulls Housing Finance said its loan books were down 10 per cent year-on-year to Rs 1.13 trillion.
The company said it has received an approval from the Competition Commission of India (CCI) for the proposed merger with Lakshmi Vilas Bank in June 2019. It has made application for approval merger to the Reserve Bank of India and stock exchanges, and is waiting for the approval.
Indiabulls Housing Finance’s main business is financing by way of loans for purchase or construction of residential houses, commercial real estate and certain other purposes.
At 09:57 am, the stock was trading 7 per cent lower at Rs 478 on the BSE, as compared to 0.12 per cent rise in the S&P BSE Sensex. It hit a 52-week low of Rs 458 on Monday, August 5. A combined 9.9 million shares have changed hands on the counter on the NSE and BSE so far.