Q2 2025 LIC Housing Finance Ltd Earnings Call Transcript
Key Points
- LIC Housing Finance Ltd (BOM:500253) reported a 12% year-on-year growth in profit after tax for Q2 FY25, reaching 1,328.89 crores.
- The company's total disbursements for the quarter increased by 12% year-on-year, with individual home loan disbursements rising by 4%.
- Asset quality improved, with stage three exposure at default reducing to 3.06% from 4.33% the previous year.
- The company launched a new product in the affordable housing segment, targeting higher margins with pricing about 250 basis points above standard home loans.
- LIC Housing Finance Ltd (BOM:500253) observed a sequential growth in its wholesale book for the first time in several quarters, indicating a positive trend reversal.
- Net interest income declined marginally to 1,974 crores from 2,107 crores in the same period the previous year.
- Net interest margins decreased to 2.71% from 3.04% year-on-year, reflecting pressure on profitability.
- The company's yield on assets has decreased by 27 basis points, despite a competitive environment where rates are generally increasing.
- Provision coverage ratio for stage one and two loans has decreased, raising concerns about potential future credit risks.
- The cost of funds remains relatively high, with incremental cost of funds at 7.71%, impacting overall profitability.
Ladies and gentlemen, good day. And welcome to the LIC Housing Finance Limited Q2 FY25 investor conference call hosted by Access Capital Limited.
As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes.
Should you need assistance during the conference call? Please signal an operator by pressing star then zero on your touchtone phone.
Please note that this conference is being recorded. I now hand the conference over to Mr Pravin Agarwal from access capital Limited. Thank you and over to you, sir.
Thank you, Neha Good day, everyone and welcome to the earnings call of LIC Housing Finance from the management team. We have Mr Tribhuwan Adhikari, MD and CEO and Mr Sudipto Sil CFO to discuss the key highlights of the result. I would request Mr Adhikari to share his initial post which will open the floor for Q&A over to you, sir.
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
