Country's largest mortgage lender HDFC or Housing Development Finance Corporation on Friday reported a net profit of Rs 3,203.10 crore for the April-June period. That marked an increase of 46.26 per cent compared to the corresponding period a year ago. In a regulatory filing during market hours, HDFC said its revenue from operations stood at Rs 12,990.29 crore in the quarter ended June 30, up 30.59 per cent compared to the year-ago period. HDFC's total interest income grew 17.53 per cent to Rs 10,478.20 crore in the quarter ended June 30.
Its net interest income (NII) - the difference between the interest earned and interest paid - for the quarter ended June 30, 2019 stood at Rs 3,042 crore in the first quarter of the current financial year.
Given the environment on liquidity, HDFC "as matter of prudence has been carrying a considerably higher level of liquidity since September 2018. Accordingly, the amount invested in high quality liquid assets in the first quarter of the current year is significantly higher than the corresponding period in the previous year," it noted.
The NII numbers for the quarter ended June 30, 2019 are therefore not strictly comparable with the corresponding quarter of the previous year.
Net interest margin - a key gauge of profitability for a finance company - stood at 3.3 per cent, the same as the corresponding quarter last year, HDFC said.
For the quarter ended March 31, HDFC had reported a net profit of Rs 2,861.58 crore, up 26.80 per cent compared to the year-ago period.
HDFC shares jumped as much as 2.92 per cent in intraday trade, before settling at a gain of 1.75 per cent over the previous close, outperforming the benchmark Sensex index which ended 0.27 per cent higher.
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