HDFC Q3 result: Net Profit grows 11.4 pc YoY to 3,261 cr

The biggest housing finance company said its net interest income grew 7 percent on-year to Rs 4,284 crore, riding on its individual business, which grew 16 percent in the reported quarter on assets under management (AUM) basis.

"The demand for home loans and pipeline of loan applications continues to remain strong. Growth in home loans was seen in both, the affordable housing segment as well as in high-end properties. The increasing sales momentum and new project launches augur well for the housing sector," HDFC told stock exchanges.

Company's strong growth pushed the overall AUM to grow 12 percent on-year to Rs 6.2 lakh crore. 

HDFC said December witnessed second-highest monthly disbursement of individual loans in the history of the company.

Further, on a cumulative basis, the collection efficiency for individual loans saw an improvement to stand at an average of 98.9 percent in the period under review, the company said.

The non-bank lender said its gross bad loans rose to Rs 12,149 crore from Rs 10,341 crore in the previous quarter, indicating a deterioration in its asset quality on a reported basis.

Also, gross non-performing assets (GNPA) ratio stood at 2.32 percent as on December 31, 2021, compared to 2 percent in Q2FY22.

GNPA ratio of individual loans portfolio stood at 1.44 percent, whereas it was at 5.04 percent for non-individual loans.

Out of the total gross bad loans, Rs 2,746 crore worth of loans are less than 90 days past due as on December 31.

"Hence, as against the reported bad loans, the NPLs net of loans that are less than 90 days past due as at December 31, 2021 is: individuals 1.14 percent, non-individuals 3.87 percent  and total portfolio: 1.81," HDFC said.

1.34 percent of HDFC's loan book has been restructured under the RBI’s Resolution Framework for COVID-19 related stress.