HDFC's pre-tax profit dips 9.5% to Rs 3,607 cr in Q1, NII at Rs 3,392 cr

Net profit of the lender was down 4.73 per cent to Rs 3,051.52 crore versus Rs 3,203.10 crore in the same period last year

Mortgage lender Housing Development Finance Corporation (HDFC) reported a pre-tax profit of Rs 3,607 crore in the first quarter of FY21, against Rs 3,985 crore in the same period a year ago, down 9.5 per cent due to additional provisioning for pandemic-related uncertainties and a negative carry on account of higher liquidity.

There is, however, incongruity in the numbers because the pre-tax profit of the lender last year was bulked up by stake sale in its life insurance subsidiary, dividend income, and net gains from de-recognising assigned loans. After adjustment, pre-tax profit at the end of the June quarter stood at