LIC HOUSING FINANCE LTD - RESULTS FOR - Q2 FY 2013 - SEP 2012 - NET PROIFT UP 147%; TOTAL INCOME UP 23% - PROMISING FUTURE

LIC Housing Finance Ltd

RESULTS FOR Q2 FY 2013

Q/E SEP,2012

LIC HOUSNING FINANCE Ltd  has declared good results for the second quarter ending Sep,2012.

HIGH LIGHTS

Ø  LIC Housing Finance Q2 Net Profit Rs 243.06 cr up by 147%

Ø  Individual Loan Disbursements up by 21%

Ø  Income from operations Rs.1840 cr up by 23%

Ø  Outstanding Loan Portfolio Rs.69119 cr up by 23%

Ø  Gross NPAs down from 0.64% to 0.60%

RESULTS TABLE

LICHFL	Q2FY13	Q1FY13	%Dif QoQ	Q2FY11	%DIF YoY
Revenue from Operations	180812.3	171786	5.25	145793.5	24.02
Other Operating Income	3192.01	2859.43	11.63	3486.23	-8.44
Total Income	184004.3	174645.5	5.36	149279.7	23.26
Finance Cost	145458	136737.4	6.38	112380.8	29.43
Employee  expense	2308.87	1922.13	20.12	1754.9	31.57
Depreciation	184.56	179.01	3.1	183.51	0.57
Advt Expenses	314.85	42.49	641	211.67	48.75
Commission & Brokerage	2787.45	1944.1	43.38	2443.37	14.08
Provisions / Write off (Net)	694.37	4355.44	-84.06	20469.71	-96.61
Other Expenses	1195.55	1117.56	6.98	1019.53	17.26
Total  Expenses	152943.7	146298.2	4.54	138463.5	10.46
Profit from Operations	31060.65	28347.3	9.57	10816.19	187.17
Other Income	2182.62	2084.83	4.69	2257.13	-3.3
Profit before tax	33243.27	30432.13	9.24	13073.32	154.28
Tax Expense	8937.65	7657.41	16.72	3233.87	176.38
Net Profit	24305.62	22774.72	6.72	9839.45	147.02
Paid-up Equity(FV.Rs. 2)	10093.26	10093.26	0	9493.26	6.32
Basic &Diluted EPS	4. 82	4. 51		2.08

Performance Highlights – Q2 FY 2013

(Figures in Rs. crores)

LIC HF	QE SEP 12	QE SEP 11	VARIATION
Individual Loan Disbursements	5716	4736	Up by 21%
Interest Income on Housing Loans	1808	1458	Up by 24%
Total Income	1862	1515	Up by 23%
Net Interest Income	354	334	Up by 6%
Profit after Tax	243.06	98.39	Up by 147%
Outstanding Loan Portfolio	69119	56098	Up by 23%
Gross NPA (%)	0.60%	0.64%

The Company has recorded a healthy growth in business during the second quarter ended September 2012.

 It has disbursed loans of Rs. 5716 crores in the Individual loans segment, registering a growth of 21%over the second quarter of previous year.

Loan disbursements to developers for the quarter stood at Rs.121 crores.

Total Income for the second quarter ended September 2012 was Rs.1862 crores as against Rs. 1515 crores during the same period last year, registering a growth of 23%.

Net profit for the Q2 was Rs.243.06 crores as compared to Rs.98.39 crores in the corresponding period last year, a growth of 147 %.

LICHFL had made a provision of Rs 205 crore in Q2 FY 12 to meet regulatory norms. In Q2 FY 13, the provisions dropped to Rs 7 crore during July-September, FY13 – which has significantly added to the net profit margin.

"During the financial year 2011-12, the company had aligned its provisioning policy on Standard / NPA accounts to match with revised NHB norms and based thereupon made provision from the quarter ended December 31, 2011. Had the policy followed for the quarter ended September 30, 2011 been continued, the profit before tax for Q2, FY13 would have been lower by around Rs 122 crore"

Net Interest Margins for the Q2 FY13 stood at 2.10% against 2.18% for the Q1 of FY13.

Performance Highlights –H1 FY 2013

(Figures in Rs. crores)

L I C H F
	H Y E SEP 12	H Y E SEP 11	Variation
Individual Loan Disbursements	10186	8204	Up by 24%
Interest Income on Housing Loans	3526	2816	Up by 25%
Total Income	3629	2934	Up by 24%
Profit after Tax	470.8	354.9	Up by 33%

For the six months ended September 2012, LIC HFL disbursed loans of Rs. 10186 crores in the Individual loans segment, registering a growth of 24%over the corresponding period of the previous year.

Loan disbursements to developers for the period stood at Rs.443 crores as against Rs. 482 crores for the corresponding period of the previous year.

Total Income was Rs.3629 crores as against Rs. 2934 crores during the same period last year, a growth of 24 %.

Net profit during this period was Rs.470.80 crores as compared to Rs.354.90 crores in the corresponding period last year, a growth of 33%.

Outstanding Mortgage Portfolio as on September 30, 2012 was Rs.69119 crores as against Rs.56098 crores on September 30, 2011, thus registering a growth of 23%.

Gross NPAs of the Company stood at 0.60% on September 30, 2012 as against 0.64 % as on September 30, 2011. Net NPAs were 0.28% as against 0.12% for the corresponding dates. This is due to lower provisioning.

New Initiatives: The Company opened three new marketing offices during Q2 FY13.

LIC Housing Finance, Director & Chief Executive, Mr. V. K. Sharma, said “We have delivered a good disbursement number of 21% growth during the quarter despite stiff headwinds and have maintained the asset quality as well. It is encouraging to note that there is a 10% increase in number of customers which is a very good sign. The other good indication is that the incremental costs of funds are showing some trends of easing”

Overall, the company has performed very well in the second quarter. As the economy and housing sector in particular is expected to turn to the better in the coming months, LICHFL’s performance also can be expected to improve significantly in coming months.

 *  *  *  E  N  D  *  *  *