DHFL profit up 29% to Rs 260 cr in June quarter on lending push

Total income went up to Rs 2,408 crore, from Rs 1,956 crore a year earlier

Representative Image
Representative Image

Mortgage lender DHFL on Friday reported a 29 per cent rise in net profit at Rs 260 crore for the first quarter ended June on the back of lending push.

The company had posted net profit of Rs 201.4 crore in the same quarter of the last fiscal.

Total income went up to Rs 2,408 crore, from Rs 1,956 crore a year earlier.

Loan book outstanding saw a growth of 20 per cent to Rs 76,225 crore during the quarter as against Rs 63,646.6 crore in the corresponding quarter of the previous fiscal.

Loan disbursements and sanctions for the June quarter stood at Rs 8,237 crore and Rs 10,863 crore, respectively, an increase of 33 per cent and 23 per cent over the same period a year before, DHFL Chairman and Managing Director Kapil Wadhawan said.

Assets under management grew 23 per cent year on year to Rs 88,236 crore as of June end.

Gross NPA marginally declined to 0.97 per cent while net interest margin rose to 3.05 per cent from 2.91 per cent a year ago.

"The government's reforms momentum continued this quarter as we witnessed some major initiatives with the introduction of a new regime in the form of RERA, and reduction of LTV ratios," Wadhawan said.

Given the circumstances, he said, DHFL has registered a steady growth of AUM reflecting "the success of growth strategy, business model and our commitment to the larger goal of facilitating home ownership across India, all of which encourage us to maintain the momentum to achieve our targets for 2017-18".

"With the introduction of new policies by the government, the housing finance sector is poised for significant growth," he added.