PNB Housing Finance surges 6% on strong Q1 net profit

The stock surged 6% to Rs 1,533 after reported 93% growth in profit at Rs 185 crore in Q1FY17.

PNB Housing Finance has surged 6% to Rs 1,533 on BSE in early morning trade after the company reported a robust 93% year on year (YoY) jump in net profit at Rs 185 crore in June quarter (Q1FY18), on back of strong net interest income. The housing finance company had logged profit of Rs 96 crore in the same quarter an year ago.

Net interest income during the quarter under review rose 64% to Rs 344 crore from Rs 209 crore in the corresponding quarter of previous fiscal year.

“Net interest margin on the average interest earning assets improved by 42 bps at 3.16% in Q1FY18 against 2.74% in Q1FY17,” PNB Housing Finance said in a statement.

Gross non-performing assets (NPA) of the loan however increased by 16 bps to 0.43% as on Q1FY17 against 0.27% as on Q1FY16.

Net NPA stood at 0.33% of the loan assets as on 30th June, 2017 against 0.19% as on 30th June, 2016, it added.