The largest pure-play mortgage lender HDFC has reported a 34 percent rise in its net to Rs 1,707 crore in June quarter year-on-year a on a healthy loan demand from the individuals segment. "The main feature of the quarter was really the growth in individual loans. We had a really healthy loan growth," said Keki M Mistry, vice chairman and chief executive. A 31 percent growth in the individual book helped the total assets grow to Rs 1,76,993 crore as of end quarter, up from Rs 1,48,262 crore year ago.
HDFC's net interest income (NII) grew 17 per cent to Rs 1,794 crore in the first quarter while the net interest margin for the quarter ended Jun 30, 2013 was 3.9 per cent, he said. The spread on loans over the cost of borrowing for the quarter ended June 30 stood at 2.29 per cent. HDFC's gross non-performing loans stood at 0.77 per cent of the loan portfolios as on June 30 compared with 0.79 per cent in the same quarter last year. It set aside Rs 1,801 crore in the first quarter compared as provisions as against the Rs 1,326 crore. "The provision we carry today is Rs 475 crore higher than what is required to be held," Mistry said.
The housing finance major's total income stood at Rs 8,474.84 crore in the quarter as against Rs 7,380.79 crore year ago. The total expenditure was Rs 6,554.91 crore compared to Rs 5,972.82 crore a year ago. On the recent measure announced by the Reserve Bank to stem rupee's fall, Mistry said that the steps are unlikely to remain for a longer time and added that the steps have not impacted its liquidity condition. "We have always kept extra liquidity in our balance sheet. We have no plan to borrow from the market in July," Mistry said. Mistry said HDFC plans to raise $500 million from external commercial borrowing and have applied for the same. The company share lost 2.35 per cent to end the session at Rs 803.50 a piece on the BSE, whose 30-share benchmark gained 0.11 per cent.
