PNB Housing Finance on Wednesday reported a nearly flat consolidated net profit at Rs 232 crore in the third quarter ended December.
The non-banking finance company (NBFC) had posted a net profit of Rs 237 crore in the same quarter of the previous fiscal.
Total revenue during October-December fell by 9 percent to Rs 1,896 crore from Rs 2,075 crore in the year-ago period, PNB Housing Finance said in a release.
Net interest margin–the measure of difference between interest earned and expended– stood at 3.2 percent for the said quarter as compared to 3 percent a year ago.
About the business operations, the company said its disbursements stood at Rs 3,203 crore (retail Rs 3,156 crore) during Q3FY21 as compared to Rs 3,196 crore (retail Rs 2,758 crore) in year-ago period.
Asset under Management (AUM) stood at Rs 77,769 crore as on December 31, 2020.
Retail loans contribute 83 percent and corporate loans reduced by 1 percent on account of sell down/accelerated payment/schedule repayment to 17 percent of the AUM, it added.
The company’s loan assets stood at Rs 64,584 crore by end of December 2020 as against Rs 69,194 crore in year-ago period.
Gross Non-Performing Assets (NPA) at an AUM level is at 2.26 percent while it is 2.64 percent at loan assets.
Net NPA stood at 1.41 percent of the loan assets.
Among others, PNB Housing Finance said its total borrowings were at Rs 64,131 crore by end of the third quarter of this fiscal, down by 9 percent from Rs 70,559 crore a year ago.
The total assigned loans outstanding were at Rs 13,186 crore as compared to Rs 17,103 crore, registering a decline of 23 percent.
"With focus on retail segment, the company achieved 14 per cent growth in retail disbursements in Q3 FY21 as compared to Q3 FY20. The company has also registered substantial reduction in its cost of borrowing resulting in 20 basis point increase in the Net Interest Margin to 3.2 per cent in Q3 FY21 as compared to 3 in Q3 FY20,” Hardayal Prasad, Managing Director & CEO said.
Post RBI moratorium, the company witnessed an impact on collection efficiency, however, the situation is improving and with various measures under taken, he said, adding "We expect to reach pre-COVID efficiency levels in near term.”
The company has set out its new agenda with focus on strengthening the core, driving efficiency and accelerating growth.
These are built upon 7 core pillars –management, capital position, risk management, cost management, digital drive, retail focussed lending and grow affordable housing, Prasad said.
Stock of the company closed 2.25 percent down at Rs 353.50 apiece on BSE.