Cash News
Bajaj Housing Finance (BHFL) on Monday reported a 21% rise in its net profit to Rs 546 crore for the quarter ended September. The company, a unit of non-bank lender Bajaj Finance, reported its first quarterly earnings since its Rs 6,560-crore initial public offering in September that attracted a strong investor interest.
Disbursements fell 1.15% to Rs 12,014 crore. The net interest income expanded 13% to Rs 713 crore. BHFL reported a decline in its net interest margin to 4.1% during the quarter under review, compared with 4.4% in the year-ago period.
Assets under management (AUM) grew 26% to Rs 1.02 lakh crore as of September 30, from Rs 81,215 crore in the same quarter last year.
Atul Jain, managing director, said the marginal fall in disbursements was not a cause for concern as the company expected a pick-up in growth in the retail portfolio. The AUM was a more relevant number to focus on. Cost of funds went up to 7.92% from 7.64% in as banks have been increasing MCLRs, he said.
Net total income for the latest quarter grew 18% to Rs 897 crore. Gross NPAs increased to 0.29% against 0.24% in the year-ago period. Net NPA fell to 0.12% from 1.09%.
Its portfolio primarily comprises home loans (57.2%), loans against property (10.5%), lease rental discounting (19.68%) and developer finance (11.7%).