The second largest pureplay mortgage lender Indiabulls Housing Finance today reported a 25 per cent jump in the June quarter net at Rs 788.2 crore, helped by higher loan growth, reduction in cost of funds and the cost-to-income ratio.
"The higher profit was driven by loan book growth which clipped at 33 per cent, reduction in cost of funds and a decline in the cost-to-income ratio," deputy managing director Ashwini Kumar Hooda told PTI in a post-earnings concall.
The reduction in cost of funds came in after the company got an AAA-rating from rating agency Icra.
On an incremental basis, the cost of funds came down to 7.51 per cent in the June quarter, while cost-to-income for the period was down by 40 bps to 12.9 per cent compared to a decline of 100 bps for the whole of FY17.
"Decline in cost-to-income has accelerated due to increasing share of disbursals from online e-home loans and technology enabled cost effective expansion into small towns with smart city home loans," Hooda said.
Gross non-performing loans improved to 0.80 per cent from 0.84 per cent last year, while net NPA, too, stood down at 0.31 per cent from 0.36 per cent.
Balance-sheet size at the end of the quarter was at Rs 1,06,611.8 crore, up 30 per cent from Rs 82,069.2 crore last year. Total disbursals was up 29 per cent at Rs 6,798.6 crore.
In the current year, the company plans to raise Rs 60,000 crore, out of which around Rs 35,000-40,000 crore will be through bonds.
The company stock closed 1.48 per cent higher at Rs 1,155.25 on the BSE, which rallied 0.68 per cent to close a new high of 32,245.87.
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