BWI: Financial Results For The Half Year Ended September 30, 2011

Press release from Business Wire India
Source: Housing Development Finance Corporation Limited
Monday, October 17, 2011 03:13 PM IST (09:43 AM GMT)
Editors: General: Consumer interest, Economy; Business: Advertising, PR & marketing, Banking & financial services, Business services, Financial Analyst, Stock exchanges
--------------------------------------------------
Financial Results For The Half Year Ended September 30, 2011


Mumbai, Maharashtra, India, Monday, October 17, 2011 -- (Business Wire India) -- The Board of Directors of Housing Development Finance Corporation Limited (HDFC) announced the results for the first half of the financial year 2011-2012, following its meeting on Monday, October 17, 2011 in Mumbai. The accounts have been subject to limited review by the Corporation's statutory auditors in line with regulatory guidelines.

FINANCIAL RESULTS

Financials for the Half year ended September 30, 2011

For the six months ended September 30, 2011, the profit before tax stood at ` 2,513.23 crore as against ` 2,100.13 crore in the corresponding period of the previous year - an increase of 20%.

After providing ` 698 crore for taxes, the profit after tax for the six months ended September 30, 2011 increased by 21% to ` 1,815.23 crore as against ` 1,502.13 crore in the corresponding period last year.


Financials for the Quarter ended September 30, 2011

For the quarter ended September 30, 2011, HDFC reported a profit before tax of ` 1,337.70 crore as compared to ` 1,133.54 crore in the corresponding quarter of the previous year - an increase of 18%.

After providing ` 367 crore for taxes, the profit after tax for the quarter ended September 30, 2011 amounted to ` 970.70 crore as compared to ` 807.54 crore in the corresponding quarter last year - an increase of 20%.


Loan Book

As at September 30, 2011, the loan book stood at ` 1,26,992 crore as against ` 1,06,287 crore as at September 30, 2010. Loans sold during the preceding twelve months amounted to ` 4,989 crore. The growth in the loan book inclusive of loans sold is 24%.

The spread on loans over the cost of borrowings for the half-year ended September 30, 2011 stood at 2.29%.

Investments

As at September 30, 2011, the unrealised gains on HDFC's listed investments amounted to ` 21,335 crore. This excludes the appreciation in the value of unlisted investments.


LENDING OPERATIONS

For the six months ended September 30, 2011, loan approvals grew by 18% and loan disbursements grew by 19% as compared to the corresponding period in the previous year.

Non-Performing Loans

Gross non-performing loans as at September 30, 2011 amounted to ` 1,063 crore. This is equivalent to 0.82% of the loan portfolio (previous year - 0.86%). This is the twenty-seventh consecutive quarter end at which the percentage of non-performing loans has been lower than the corresponding quarter in the previous year.
As at September 30, 2011 the Corporation had a balance of ` 1,525 crore in the Provision for Contingencies Account.
In accordance with the revised provisioning requirements as stipulated by the National Housing Bank in August 2011, the Corporation is required to carry a provision of ` 1,196 crore, which includes (1) provisioning of ` 445 crore on standard assets in respect of housing loans granted under the Dual Rate Home Loan Scheme and (2) incremental provisioning for standard assets at 40 basis points.
During the quarter an amount of ` 255 crore (net of deferred tax) was utilised from the Additional Reserve to meet the additional provision consequent to changes in provisioning norms mainly on standard assets.

CAPITAL ADEQUACY RATIO

HDFC's capital adequacy ratio stood at 13.8% of the risk weighted assets, as against the minimum requirement of 12%. Tier 1 capital adequacy was 11.7% as against a minimum requirement of 6%.

DISTRIBUTION NETWORK

HDFC's distribution network spans 298 outlets, which include 76 offices of HDFC's distribution company, HDFC Sales Private Limited (HSPL). In addition, HDFC covers over 90 locations through its outreach programmes. Distribution channels form an integral part of the distribution network with home loans being distributed through HSPL, HDFC Bank Limited and other few third party direct selling associates.

To cater to non-resident Indians, HDFC has offices in London, Dubai and Singapore and service associates in Kuwait, Oman, Qatar, Sharjah, Abu Dhabi and Saudi Arabia - Al Khobar, Jeddah and Riyadh.

To view the Financial Results, please click on the links given below:
Financial Results
Sept 2011
For picture(s)/data to illustrate this release click below:

http://www.BusinessWireIndia.com/attachments/Qtrsept11.pdf
Qtrsept11.pdf
http://www.BusinessWireIndia.com/attachments/HDFC Sep2011.pdf
HDFC Sep2011.pdf


CONTACT DETAILS
Mahesh Shah, Housing Development Finance Corporation Limited, +91(22) 22820282, maheshs@hdfcindia.com

KEYWORDS
CONSUMER, ECONOMY, MARKETING, BANKING, BUSINESS SERVICES, Financial Analyst, STOCK EXCHANGES

If you wish to change your Business Wire India selection please click on this link http://www.businesswireindia.com/media/news.asp and use your personal username and password to login.

Submit your press release at http://www.businesswireindia.com