Net Interest Margins for the Q1FY2014 improved to 2.30% compared to 2.18% in Q1FY2013, while declined from 2.45% for the Q4FY2014. Interest earned on a standalone basis increased 24% to Rs 2130.26 crore for quarter ended June 2013, while the Interest expended moved up 23% to Rs 1675.54 crore. The Net Interest Income of the company jumped 30% to Rs 454.7 crore in Q1FY2014. However, the other income of the company declined 4% to Rs 47.68 crore. The total income increased 26% to Rs 502.40 crore for quarter ended June 2013.

The operating expenses rose at moderate pace of 18% to Rs 59.32 crore, pushing up the operating profit by 27% to Rs 443.08 crore in Q1FY2014. The provisions for bad loans declined 61% at Rs 17.10 crore, while the depreciation rose 10% to Rs 1.96 crore in Q1FY2014. PBT moved up 39% to Rs 424.02 crore for quarter ended June 2013. Tax provisions increased 48% to Rs 113.51 crore. The net profit surged 36% to Rs 310.51 crore for the quarter ended June 2013.

In the Individual Loan category, the company disbursed Rs 5069 crore as against Rs 4470 crore for the same period last year, recording a growth of 13%. Disbursements in the developer loan segment were Rs 58 crore as against Rs 321 crore for the same period last year.

The Outstanding Mortgage Portfolio was Rs 80137 crore at end June 2013 as against Rs 65644 crore at end June 2012, registering a growth of 22%. The Individual Loan portfolio increased 24% YoY to Rs 77727 crore at end June 2013 from Rs 62602 crore, while the developer Loan portfolio declined to Rs 2410 crore at end June 2013 from Rs 3042 crore at end June 2012.

Gross NPAs in individual segment was 0.51% at end June 2013 as against 0.74% at end June 2012. Total Gross NPAs for the Company including NPAs on Developer Loans stood at 0.80% at end June 2013 as against 0.71% at end June 2012.

Gross NPAs in Developer Loans segment include three major accounts amounting to Rs 229 crore, which were NPA at end March 2013. Adequate collaterals back these accounts and action under SARFAESI Act has been initiated.

Net NPAs stood at 0.52% at end June 2013 as against 0.39% at end June 2012. Total provisions including general provisions on standard loans stands at Rs 712.01 crore at end June 2013.

Book value of the company stood at Rs 134.6 per share at end of June 2013, up from Rs 128.4 per share at end of March 2013 and Rs 117.1 per share at end June 2012.

Annual Financial Performance:

For the year ended March 2013, LIC Housing Finance reported 25% increase in interest earned on a standalone basis at Rs 7459.09 crore while the Interest expended increased by 29% to Rs 5924.60 crore. Net Interest Income of the company moved up 10% to Rs 1534.49 crore. Other income of the company fell 14% to Rs 199.80 crore, reducing net total income growth to 7% at Rs 1734.29 crore for FY2013. The operating expenses increased 19% to Rs 274.31 crore, causing operating profit to remain steady at Rs 1459.97 crore in FY2013 same as in FY2012. Provision for Bad debts stood at Rs 78.87 crore in FY2013 nearly half compared to Rs 156.05 crore in FY2012. Depreciation rose 2% to Rs 7.53 crore. The PBT stood at Rs 1373.57 crore, up 12% for the year ended March 2013. Tax provisions increased 11% to Rs 350.36 crore. The net profit moved up 12% to Rs 1023.21 crore, on a YoY basis, in FY2013.

During the year ended March 2013, the company sanctioned and disbursed loans totaling Rs 26477 crore & Rs 24358 crore, registering a growth of 20% & 22%, respectively over the previous year. The net interest margins for the whole year stood at 2.18% as against 2.44% for FY2012 showing further decline from 3.08% for FY2011.