Dewan Housing Finance Posts 16% Rise in Q3 Profit

Dewan Housing Finance Posts 16% Rise in Q3 Profit

New Delhi: Mortgage lender Dewan Housing Finance Ltd (DHFL) on Wednesday reported a 16.4 per cent rise in net profit at Rs 185.90 crore for the third quarter ended December, 2015, on higher loan disbursements.

The company had registered a net profit of Rs 160 crore for the corresponding period a year ago.

The total income increased to Rs 1,885.32 crore from Rs 1,524.91 crore in the year-ago period.

“The rise in net profit is reflection of our robust loan disbursement,” DHFL chairman and managing director Kapil Wadhawan said.

The loan disbursement of the company rose 31 per cent to Rs 6,428.37 crore.

“We have registered a robust demand for home loans in the quarter ended December 31, 2015 as we continue to execute our proven business model of delivering value to customers, combined with affordable rates and world-class service deliverance which is further helping us to bring about consistent top and bottom line growth,” he said.

For the first three quarters of 2015-16, the company clocked a 17.54 per cent rise in net profit to Rs 539.53 crore, compared to Rs 459 crore in the nine months of last fiscal year.

The company reported a total income of Rs 5,347.34 crore in the first nine months of the current fiscal, compared to Rs 4,398.15 crore in the previous financial year.

On the outlook, he said, the government’s decision to implement the recommendations of the 7th pay commission, initiate housing for all by 2022, build smart cities and relax the foreign direct investment norms in real estate will provide impetus to the housing finance sector.

“We look forward to further strengthening our leadership by steady disbursement in the last quarter of FY16,” he added.

Besides, the company has also given approval for issuance of preferential shares to promoter Wadhawan Global Capital Private Ltd.

So fund infusion of up to Rs 500 crore would be made by March 2015 and the promoter holding would go up following the issuance of warrant, he said.

Written by Srijita