HDFC net profits up by 19%
The Housing Development Finance Corp. Ltd (HDFC) has said that its net profit rose by 19 per cent in the quarter ended June as a result of strong growth in individual home loan borrowing.
HDFC’s June quarter net profit rose to Rs. 1,001.9 crore from Rs. 844.53 crore last year, while its loan book stood at Rs. 1.48 trillion on 30 June, up 19 per cent from Rs. 1.24 trillion a year ago. HDFC shares dropped 0.62 per cent to Rs. 678.30 on BSE.
However, the fresh loan approvals growth slowed to 17 per cent from 21 per cent in the quarter ended March.
According to analysts, reasons behind the decline in fresh loan approvals were slow economic growth, high interest rates for loans and the absence of much-expected correction in property prices.
Individual loan soar by 29 per cent, while loans to builders rose by 14 per cent, the company said.
However, the company’s net interest margin remained stable at four per cent, compared with the same period last year.
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Source: LiveMint
BSE, Economic growth, HDFC, HDFC shares, High interest, home loan, Housing Development Finance Crop. Ltd, individual home loan, Interest rates, net interest margin, net profits, Property Prices, Shares
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