Mortgage lender Indiabulls Housing Finance today reported 24 per cent jump in net profit at Rs 555.5 crore for the three months to September helped by a reduction in cost of funds and decline in credit cost apart from lowering cost to income ratio.
"We saved on our cost of funds by raising more funds through bonds. Our cost to income ratio as well as the credit cost also fallen in the quarter," company's vice chairman and managing director Gagan Banga said.
Its cost of funds declined to 9.45 per cent in the quarter from 10.1 per cent a year-ago.
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"We want to reduce our bank borrowing to 45 per cent by March 2016," he said.
During the first half, the company raised Rs 6,500 crore through bonds and is planning to raise another Rs 6,000 crore through debt route in the rest of the fiscal.
Its cost to income ratio has dropped to an annualised level of 14.6 per cent from 18 per cent in FY13, while the cost of credit came down to 0.61 per cent from with 0.70 per cent a year ago.
Net interest income grew 34.6 per cent to Rs 884.6 crore from Rs 657.1 crore.
Gross NPAs stood at 0.84 per cent and net NPAs stood at 0.35 per cent.
During the quarter, the company raised USD 600 million (Rs 4,000 crore) from a QIP issue. With this equity infusion, its networth crossed Rs 10,367.1 crore.
Shares of the company ended 0.24 per cent down at Rs 736.45 on the BSE which closed down 17 points down.