HUDCO , a leading public sector enterprise in housing and urban infrastructure financing, has reported a robust financial performance for the first quarter of fiscal year 2025-26. The company's profit after tax surged by 13% to Rs 630.23 crore, compared to Rs 557.75 crore in the same period last year.

Financial Highlights

• Total income increased by 34% to Rs 2,945.47 crore from Rs 2,197.19 crore year-on-year.
• Interest income rose significantly to Rs 2,924.64 crore from Rs 2,174.60 crore in the previous year quarter.
• The company's loan portfolio expanded by 29% to Rs 1,34,410 crore as of June 30, 2025.

Operational Performance

HUDCO demonstrated strong operational performance during the quarter:

• Loan sanctions more than doubled to Rs 34,224 crore from Rs 14,097 crore in Q1 FY25.
• Disbursements saw a marginal increase to Rs 12,812 crore, marking the highest ever quarterly disbursement for the company.

Asset Quality

The company maintained a robust asset quality:

• Gross Non-Performing Assets (GNPA) ratio improved to 1.34% from 2.42% in the previous year.
• Net Non-Performing Assets (NNPA) ratio decreased to 0.09% from 0.33%.
• Provision Coverage Ratio strengthened to 93.49% from 86.61%.

Capital Adequacy

HUDCO's Capital to Risk-weighted Assets Ratio (CRAR) stood at a healthy 41.72% as of June 30, 2025, well above regulatory requirements.

Dividend Declaration

The Board of Directors has declared a first interim dividend of Rs 1.15 per equity share (11.50% on face value of Rs 10 each) for the financial year 2025-26. The record date for dividend eligibility is set as August 14, 2025.

Fund Raising

During the quarter, HUDCO raised Rs 5,370 crore through the issuance of non-convertible debt securities on a private placement basis. The company also launched its maiden issue of 54EC Capital Gain Tax Exemption Bonds on May 7, 2025, raising Rs 2.22 crore during the quarter.

Outlook

With a strong financial position and growing loan portfolio, HUDCO is well-positioned to support India's housing and urban infrastructure development needs. The company's focus on maintaining asset quality while expanding its operations bodes well for its future growth prospects.

Sanjay Kulshrestha, Chairman & Managing Director of HUDCO, commented on the results, stating, "Our robust Q1 performance reflects HUDCO's strong foundation and commitment to supporting India's urban development. We remain focused on sustainable growth and creating value for all our stakeholders."

As HUDCO continues to play a crucial role in financing housing and urban infrastructure projects across India, its solid financial performance in Q1 FY26 sets a positive tone for the rest of the fiscal year.

HUDCO , a leading public sector enterprise in housing and urban infrastructure financing, has reported a strong financial performance for the first quarter.

Robust Financial Growth

HUDCO's net profit for Q1 rose to 630.00 crore rupees, marking a 12.5% increase from 560.00 crore rupees in the same period last year. This growth in profitability demonstrates the company's resilience and effective financial management in the current economic landscape.

The company's revenue witnessed an impressive surge, climbing to 2,940.00 crore rupees from 2,190.00 crore rupees year-over-year, representing a substantial 34.2% growth. This significant increase in revenue underscores HUDCO's expanding operations and market presence in the housing and urban development sector.

Key Financial Metrics

Operational Highlights

HUDCO's loan sanctions for Q1 stood at an impressive 34,224.00 crore rupees, showcasing a remarkable 143% increase compared to the same quarter in the previous year. This substantial growth in loan sanctions indicates a strong demand for HUDCO's financing services and its pivotal role in supporting housing and urban infrastructure projects across India.

The company's loan disbursements reached 12,812.00 crore rupees, marking the highest ever quarterly disbursement. This achievement reflects HUDCO's commitment to facilitating timely project implementations and its efficient fund deployment strategies.

Asset Quality and Financial Position

HUDCO maintained a robust asset quality with a Gross Non-Performing Asset (GNPA) ratio of 1.34% and a Net Non-Performing Asset (NNPA) ratio of 0.09%, demonstrating effective risk management practices. The provision coverage ratio stood at a healthy 93.49%, providing a strong buffer against potential credit risks.

The company's net worth increased to 17,655.92 crore rupees, indicating a solid financial foundation. HUDCO's Capital to Risk-weighted Assets Ratio (CRAR) was reported at 41.72%, well above the regulatory requirements, showcasing its strong capital adequacy.

Dividend Announcement

In a move that will please shareholders, HUDCO's Board of Directors has declared an interim dividend of 1.15 rupees per equity share (11.50% on the face value of 10 rupees each) for the financial year.

Sanjay Kulshrestha, Chairman & Managing Director of HUDCO, commented on the results, stating, "Our strong Q1 performance reflects HUDCO's pivotal role in India's urban development landscape. The significant growth in loan sanctions and disbursements underscores the trust placed in us by our stakeholders and our commitment to fostering sustainable urban growth."

As HUDCO continues to play a crucial role in financing housing and urban infrastructure projects, its robust Q1 performance sets a positive tone for the fiscal year ahead, positioning the company for sustained growth and impact in India's urban development sector.