Housing Development Finance Corporation Ltd (HDFC) on Monday reported a 16% rise in standalone net profit for the fourth quarter to ₹3,700 crore from ₹3,180 crore in the year-ago period, as home loan demand improved.
For the 12 months ended March 31, 2022, the mortgage lender reported a net profit of ₹13,742 crore, an increase of 14.3% from ₹12,027 crore.
HDFC said individual sanctions and disbursements have grown by 38 per cent and 37 per cent, respectively, in the last financial year.
“Both in the affordable housing segment as well as high-end properties witnessed a growth in home loans,” the lender said in a statement. “Growing sales momentum and new project launches augurs well for the housing sector,” it added.
During the year, 29% of home loans sanctioned in terms of volume and 13% in terms of value were for Economically Weaker Section (EWS) and Low Income Group (LIG) customers. The average home loan for EWS and LIG segments was ₹11.2 lakh and ₹19.7 lakh respectively, it said.
The board recommended a dividend of ₹30 per equity share at a face value of ₹2 for the year ended March 31, as against ₹23 for the previous year. HDFC said in a filing that the dividend payout ratio stands at 40%.
“Home loan demand and the pipeline of loan applications remain strong,” it said.
The Assets Under Management (AUM) stood at ₹6,53,902 crore as on March 31, 2022, as against ₹5,69,894 crore in the previous year.
As on March 31, 2022, the outstanding amount in respect of personal loans sold was ₹83,880 crore. HDFC continues to service these loans and has a gross NPL of ₹10,741 crore. This was equivalent to 1.91% of the portfolio.
HDFC said it made a total provision of ₹13,506 crore as of March 31 and its capital adequacy ratio was 22.8%, of which Tier I capital was 22.2% and Tier II capital was 0.6%. As per regulatory norms, the capital adequacy ratio and the minimum requirement for Tier I capital are 15% and 10% respectively.
For the full year, consolidated profit after tax attributable to HDFC rose 21% to ₹22,595 crore.