GRUH Finance Ltd announces Q4, FY18 results

The Board of Directors of GRUH Finance Ltd. (GRUH) - a subsidiary of HDFC Ltd. - has approved the annual audited accounts for the year ended March 31, 2018 at their meeting held in Mumbai on April 14, 2018.

FINANCIAL RESULTS

Profit after tax for the year amounted to Rs. 363 crores as compared to Rs. 297 crores for the previous year indicating a growth of 22%.

The profit for the year has been arrived at after charging Rs. 37 crores (Previous Year Rs. 29 crores) towards of Deferred Tax Liability (DTL) on Special Reserve created during the year and Rs. 4.37 crores (Previous Year Rs. 3.36 crores) on Corporate Social Responsibility (CSR) Activities.

Loan Portfolio

The loan portfolio as at March 31, 2018 amounted to Rs. 15,568 crores as against Rs. 13,244 crores in the previous year - an increase of 18%.

LENDING OPERATIONS

Loan Disbursements

Loan disbursements during the year were Rs. 5,259 crores as against Rs. 4,125 crores in the previous year indicating a growth of 27%.

Retail Home Loans at Rs. 4,016 crores during the year constituted 76% of total disbursement of Rs. 5,259 crores and has grown by 29% over the previous year.

Cumulative loan disbursements as of March 31, 2018 were Rs.28,456 crores.

Non-Performing Loans

The gross NPA as at March 31, 2018 stands at Rs 70.09 crores. Gross NPA constitute 0.45% of the total loan outstanding of Rs. 15,568.39 crores as against gross NPA for the previous year at Rs. 40.58 crores or 0.31% of the outstanding loans.

GRUH carries a provision of Rs. 53.47 crores in the Balance Sheet as at March 31, 2018 on its NPA portfolio. Further, GRUH carries provision of Rs. 66.10 crores on its standard asset portfolio.

GRUH also carries additional provision for contingencies aggregating Ms. 16.63 crores. The Net NPA stands at Ms. NIL indicating a ratio of Net NPA to Loans of NIL at the end of March31, 2018.

CAPITAL ADEQUACY RATIO

Following the accretion to networth of Rs. 268 crore, the Networth of the Company has grown to Rs. 1,381 crores, up from Rs. 1,113 crore in the previous year.

Capital Adequacy Ratio (CAR) for the company stands at 18.90% as at March 31, 2018 as against the required minimum CAR of 12% as stipulated by NHB. The Tier I Capital stands at 17.68% while Tier II capital is 1.22%.

DEPOSITS

GRUHs outstanding deposits portfolio are Rs. 1,458 crores, down from Ps. 1,505 crores during the year indicating a negative growth of 3%.

GRUH's Fixed Deposit programme is rated "FAAA" by CRISIL and "MAAA" by ICRA. The rating of "FAAA" and "MAAA" indicates the degree of safety of repayment of principal and interest is Very Strong. GRUH's Short Term borrowings including Commercial Paper (CP) and short term NCD's is rated at "Al(+)" by ICRA and CRISIL.

GRUH's Long term Non Convertible Debenture (NCD) and Subordinated Debt NCD's (Tier II) is rated AAA by ICRA and CRISIL.

RETAIL NETWORK

GRUH expanded its retail office network to 194 offices across 11 states of the country from 185 offices in the last year. GRUH has 48 offices in Gujarat, 51 offices in Maharashtra, 17 offices in Karnataka, 32 offices in Madhya Pradesh, 13 offices in Rajasthan, 12 offices in Chhattisgarh, 12 offices in Tamil Nadu, 5 office in Uttar Pradesh, 2 offices in West Bengal and one each in Bihar and Jharkhand.

AWARDS AND RECOGNITION

During the quarter, GRUH received the award as Winner in Affordable Housing Finance Category at the Outlook Money Awards 2017. The awards were announced by Outlook group of publication.

Shares of GRUH FINANCE LTD. was last trading in BSE at Rs.612.4 as compared to the previous close of Rs. 616.6. The total number of shares traded during the day was 75815 in over 1798 trades.

The stock hit an intraday high of Rs. 630 and intraday low of 605. The net turnover during the day was Rs. 47227643.

Source : Equity Bulls

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