Housing finance major, HDFC, on Tuesday reported a 60 percent year-on-year (YoY) drop in net profit at Rs 2,113.8 crore for the third quarter ended December 2018.

In the corresponding quarter last year, the company posted a net profit of Rs 5,300 crore.

CNBC-TV18 Polls had predicted a profit of Rs 2,086 crore for the quarter under review.

The profit numbers for the quarter ended December 31, 2018 are not comparable with that of the quarter ended December 31, 2017, HDFC said in a statement.

In the quarter ended December 31, 2017, the company had sold shares in the initial public offer of HDFC Life Insurance Company Ltd for a consideration of Rs 5,250 crore.

Its total income rose to Rs 10,450 crore, up 20 percent, during the third quarter as against Rs 8,679 crore in the year-ago period.

The net interest income grew 17 percent at Rs 3,191 crore as against Rs 2,736 crore as compared to last year. The loan book of HDFC stood at Rs 3.86 lakh crore as of December 2018 and individual loans constituted 74 percent of total loan book.

The gross non-performing loans as on December 31, 2018 stood at Rs 4,731 crore and this is equivalent to 1.22 percent of the loan portfolio.

As per the norms, the corporation is required to carry a total provision of Rs 3,068 crore. As against this, the balance in the provisions and loan losses account as on December 31, 2018 stood at Rs 5,220 crore. This is equivalent to 1.35 percent of the loan portfolio.

The corporation’s capital adequacy ratio stood at 18.9 percent, of which Tier I capital was 17.2 percent and Tier II capital was 1.7 percent.

The HDFC board approved issuance of non-convertible debenture (NCDs) worth Rs 45,000 crore, the company said in a BSE filing.

Also, the company approved appointment of Ireena Vittal as independent director for five years.

First Published:Jan 29, 2019 2:12 PM IST