HDFC net profit up 20% to Rs 284.52 cr

Housing Development Finance Corporation (HDFC) today reported a 20.53 per cent increase in net profit at Rs 284.52 crore for the third quarter ended December 31, 2005 as against Rs 236.05 crore in Q3 of FY05.

Total income increased by 24 per cent to Rs 1,055.28 crore in Q3 FY06 from Rs 848.01 crore in Q3 FY05. Total expenditure for the housing finance major also rose by 25 per cent to Rs 697.93 crore ( Rs 558.28 crore).

Approvals during the nine months ended December 31, 2005 rose by 32 per cent to Rs 17,777 crore compared with Rs 13,465 crore during the corresponding period of the previous fiscal.

Disbursements during the period under review amounted to Rs 13,805 crore against Rs 10,652 crore a year ago, representing an increase of 30 per cent.

Managing director Keki Mistry said the housing finance company would review lending rates over the coming week. In case HDFC decides to hike rates, it could be in the range of 25-50 basis points, he informed further.

HDFC's interest on loans rose by 30.62 per cent to Rs 2,478 crore in the nine-month ended December 31,2005 against Rs 1,897.07 crore reported a year ago.

However, the housing finance behemoth posted a 47.77 per cent dip in its income from fees and other charges to Rs 40.72 crore for the period under review compared with Rs 77.97 crore reported in the corresponding period of the previous fiscal.

Net profit on sale of investments remained almost flat at Rs 142.29 crore (Rs 140.19 crore). On Tuesday, HDFC was in the market to raise Rs 500 crore at 7.65 per cent via ten year bonds.