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Results - Analysis
Healthy AUM growth, margins and asset quality
PNB Housing Finance
29-Apr-2025, 07:35
PNB Housing Finance has continued to post strong 25% growth in the net profit to Rs 550.38 crore for the quarter ended March 2025 (Q4FY2025) over Q4FY2024. The loan book of the company surged 16%, while overall AUM moved up 13% end March 2025 over March 2024. The company has posted strong 24% growth in the disbursement in Q4FY2025. The margins of the company improved, while asset quality strengthened in Q4FY2025. The net interest margin improved to 3.75% in the quarter ended March 2025, compared with 3.70% in the preceding quarter and 3.65% in the corresponding quarter last year. Net interest income for the quarter ended March 2025 increased 17% to Rs 727.87 crore as against Rs 623.2 crore in the same period of the previous year. Income from operations increased 13% to Rs 1905.92 crore in the quarter ended March 2025. Interest expense moved up 10% to Rs 1178.05 crore, while other expenses (including staff cost of Rs 105.11 crore and other expenses of Rs 92.93 crore) increased 21% to Rs 198.04 crore. Ensuing Gross profit advanced 14% to Rs 660.69 crore. The depreciation rose marginally to Rs 14.31 crore in Q4FY2025 against Rs 14.18 crore in Q4FY2024. The company has reversed provision and write offs of Rs 64.83 crore against provisions charge of Rs 6.64 crore in same quarter last year. PBT increased 27% to Rs 711.21 crore. Effective tax rate rose to 22.61% bps on yoy basis from 21.54%. The profit after tax of the company improved 25% to Rs 550.38 crore in the quarter ended March 2025.
PNB Housing Finance has continued to post strong 25% growth in the net profit to Rs 550.38 crore for the quarter ended March 2025 (Q4FY2025) over Q4FY2024. The loan book of the company surged 16%, while overall AUM moved up 13% end March 2025 over March 2024. The company has posted strong 24% growth in the disbursement in Q4FY2025. The margins of the company improved, while asset quality strengthened in Q4FY2025. The net interest margin improved to 3.75% in the quarter ended March 2025, compared with 3.70% in the preceding quarter and 3.65% in the corresponding quarter last year. Net interest income for the quarter ended March 2025 increased 17% to Rs 727.87 crore as against Rs 623.2 crore in the same period of the previous year. Income from operations increased 13% to Rs 1905.92 crore in the quarter ended March 2025. Interest expense moved up 10% to Rs 1178.05 crore, while other expenses (including staff cost of Rs 105.11 crore and other expenses of Rs 92.93 crore) increased 21% to Rs 198.04 crore. Ensuing Gross profit advanced 14% to Rs 660.69 crore. The depreciation rose marginally to Rs 14.31 crore in Q4FY2025 against Rs 14.18 crore in Q4FY2024. The company has reversed provision and write offs of Rs 64.83 crore against provisions charge of Rs 6.64 crore in same quarter last year. PBT increased 27% to Rs 711.21 crore. Effective tax rate rose to 22.61% bps on yoy basis from 21.54%. The profit after tax of the company improved 25% to Rs 550.38 crore in the quarter ended March 2025.
Loan book and disbursements
The AUM of the company surged 13% to Rs 80397 crore end March 2025 over March 2024. The loan portfolio of the company increased 16% to Rs 75765 crore. The loans sold outstanding declined 21% to Rs 4632 crore end March 2025 over March 2024. The disbursements increased 24% to Rs 6854 crore in the quarter ended March 2025. The deposits with the company have declined 1% to Rs 17642 crore at end March 2025.Asset quality
Gross NPA ratio declined to 1.08% at end March 2025 from 1.19% a quarter ago and 1.50% a year ago. Meanwhile, Net NPA ratio also declined to 0.69% at end March 2025 from 0.80% a quarter ago. In absolute terms, GNPA stood at Rs 816 crore and NNPA at Rs 522 crore at end March 2025.Book value of the company stood at Rs 648.8 per share, while adjusted book value was at Rs 628.7 per share at end March 2025.
Financial Performance FY2025:
For the year ended March 2025 (FY2025), PNB Housing Finance reported 8% rise in Income from operations at Rs 7273.73 crore. Interest expense moved up 7% to Rs 4551.40 crore, while other expenses increased 22% to Rs 757.10 crore. Ensuing Gross profit increased 10% to Rs 2383.13 crore. Depreciation increased 9% to Rs 55.89 crore, while the company has written back provision and write offs of Rs 158.53 crore. PBT improved 27% to Rs 2485.77 crore. Effective tax rate stood at 22.11% FY2025, compared with 22.82% in FY2024. The PAT of the company improved 28% to Rs 1936.14 crore in FY2025.| Particulars | 2503 (3) | 2403 (3) | Var % | 2503 (12) | 2403 (12) | Var % |
| Income from operations | 1905.92 | 1692.90 | 13 | 7273.73 | 6742.21 | 8 |
| Other Income | 130.86 | 121.07 | 8 | 417.90 | 314.88 | 33 |
| Total Income | 2036.78 | 1813.97 | 12 | 7691.63 | 7057.09 | 9 |
| Interest Expenses | 1178.05 | 1069.70 | 10 | 4551.40 | 4261.12 | 7 |
| Other expenses | 198.04 | 163.64 | 21 | 757.10 | 619.76 | 22 |
| Gross profit | 660.69 | 580.63 | 14 | 2383.13 | 2176.21 | 10 |
| Depreciation | 14.31 | 14.18 | 1 | 55.89 | 51.19 | 9 |
| Profit before tax and Provisions | 646.38 | 566.45 | 14 | 2327.24 | 2125.02 | 10 |
| Provisions and write off | -64.83 | 6.64 | LP | -158.53 | 171.12 | LP |
| Profit before tax' | 711.21 | 559.81 | 27 | 2485.77 | 1953.90 | 27 |
| Provision for tax | 160.83 | 120.56 | 33 | 549.63 | 445.89 | 23 |
| PAT | 550.38 | 439.25 | 25 | 1936.14 | 1508.01 | 28 |
| EPS*(Rs) | 84.7 | 67.6 | ' | 74.5 | 58.0 | ' |
| Adj BV (Rs) | 628.7 | 552.8 | ' | 628.7 | 552.8 | ' |
| * Annualized on current equity of Rs 259.93 crore. Face Value: Rs 10, Figures in Rs Crore. PL: Profit to Loss, LP: Loss to Profit | ||||||
| Source: Capitaline Corporate Database | ||||||
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