LIC Housing Finance Q1 net profit boosted by 18.5 per cent

LIC Housing Finance (LICHF) has declared the unaudited financial results for the Q1FY16 on 20th July 2015. The LICHF reported a total 4 per cent increase in the income to Rs 2945.88 crore in Q1FY16 on sequential basis. The total expenditure of the LICHF decreased by 5.30 per cent to Rs 125.57 crore in Q1FY16 as compared to the previous quarter but provisions and contingencies increased by four fold to Rs 44.34 crore as compared to the previous quarter, which was Rs 10.3 crore in Q4FY15.

LICHF's EBIT increased by 4.46 per cent to Rs 2817.98 crore in Q1FY16 as against Rs 2697.58 crore in Q4FY15. The company's PBT increased by just 0.64 per cent to Rs 579.01 crore in Q1FY16 on sequential basis because of decrease in other income by 30.36 per cent to Rs 19.57 crore during the quarter. However, the interest expense increased by 5.03 per cent to Rs 2258.54 crore in Q1FY16 on quarter on quarter basis and the Net Interest Income(NII) rose by 1.39 per cent on sequential basis. The EBITDA margin of LICHF expanded by 42 basis points to 95.74 per cent in Q1FY16 on sequential basis. The PAT of the LICHF increased by 1.04 per cent to Rs 382.12 crore in Q1FY16 on quarter on quarter basis. Hence, Its PAT margin contracted by 38 basis points to 12.97 per cent in Q1FY16 compared to previous quarter.

On yearly basis, the LICHF revenue grew by 17.41 per cent to Rs 2945.88 crore in Q1FY16 compared to Rs 2509.13 in Q1FY15. The total expenses of the bank rose by 63.91 per cent from Rs 76.61 crore in Q1FY15 to Rs 125.57 crore in Q1FY16. It’s PAT increased by 18.55 per cent to Rs 382.12 crore in Q1FY16 on yearly basis, which was Rs 322.32 in Q1FY15. The LICHF reported healthy loan growth of 18 per cent to Rs 110411 crore compared to Q1FY15 and improvement of 20 basis points in Gross Non-performing Assets (GNPA) at 0.60 per cent in Q1FY16, which was 0.80 per cent in Q1FY15.

The LICHF is incorporated on 19th June 1989, the Company was promoted by LIC of India and went public in the year 1994. The main objective of the Company is providing long term finance to individuals for purchase or construction of house or flat for residential purpose / repair and renovation of existing flat / houses. The company has provided services to more than 18 lakh customers till date.