HDFC posted a net profit of ₹2,233 crore for the quarter ended March 31, down from ₹2,862 crore in the corresponding quarter of the previous year. The board of HDFC also approved a dividend of ₹21 per share.
HDFC said dividend income received during the quarter was ₹2 crore compared with ₹537 crore in the same quarter last year while profit on sale of investment for the quarter stood at ₹2 crore as compared with ₹321 crore in same quarter of the previous year.
The mortgage lender reported provisioning of ₹1,274 crore, including impact for Covid, for the March quarter as compared to ₹398 crore in the year-ago period.
As of March 31, 2020, HDFC’s gross non-performing loans stood at ₹8.908 crore, equivalent to 1.99% of the loan portfolio. The non-performing loans of the individual portfolio stood at 0.95% while that of non-individual portfolio stood at 4.71%.
HDFC said the actual provisions as at March 31,2020, stood at ₹10,988 crore This is ₹6,800 crore over and above the regulatory requirement.
For the quarter ended March 31, 2020, the net interest income stood at ₹3,564 crore, up 14% from the year-ago’s quarter’s ₹3139 crore.
HDFC’s capital adequacy ratio stood at 17.7% of which Tier 1 capital was 16.6% and Tier II was 1.1%. As per regulatory norms, the minimum requirement for capital adequacy ratio and Tier 1 capital is 13% and 10% respectively.
While offices being closed in the months of April and part of May, individual disbursements have continued to be impacted. Loan approvals and loan servicing requirements are being down online.
According to RBI’s directions, HDFC has offered moratorium to customers whose loans were standard as at February 29, 2020 for the period March to May. The RBI has further permitted the extension of the moratorium period by 3 months, up to August 31.