PNB Housing Finance net profit drops by 10 per cent YoY in Q1FY21 to Rs 257.2 crore

PNB Housing Finance Limited, promoted by Punjab National Bank announced its first quarter results on July 23, 2020.

The company posted consolidated profit in Q1FY21 came in at Rs 257.2 crore that decline d by 10 per cent YoY from Rs 284.5 crore in Q1FY20. Net interest income (NII) stood at Rs 487.8 crore in Q1FY21, which declined by 22 per cent YoY, as against Rs 625.5 crore in Q1FY20. Operating profit of the company in Q1FY21 came in at Rs 404.6 crore that decreased by 30 per cent YoY, as against Rs 578.2 crore reported in Q1FY20.

As for the asset quality, capital adequacy ratio based on Indian generally accepted accounting principles (IGAAP) stood at 18.05 per cent for Q1FY21, of which Tier I capital was 15.33 per cent and Tier II capital was 2.72 per cent. Return on asset (ROA) stood at 1.33 per cent during Q1FY21, registering a decline of 4 bps YoY, as compared to 1.37 per cent during Q1FY20.

Gross non-performing assets (NPA) stood at 2.76 per cent at loan assets and net NPA stood at 1.67 per cent in Q1FY21. The cumulative expected credit loss (ECL) provision as on June 30, 2020 stood at Rs1,837.1cr resulting in the total provision to assets ratio at 2.7 per cent. The total provision coverage ratio in Q1FY21 stood at 98 per cent, as against 95 per cent in Q4FY20, witnessing a growth of 3 per cent QoQ.

About 39 per cent of company’s asset under management (AUM) opted for moratorium has reduced substantially from 56 per cent in Phase 1 as of June 30, 2020.

The share ends in green at Rs210.25 with gains of 4.99 per cent on BSE.