PNB Housing Finance , a prominent player in India's housing finance sector, has made significant progress in its search for new leadership. The company has announced that it has shortlisted four candidates for the crucial positions of Managing Director (MD) and Chief Executive Officer (CEO).

Executive Search Details

This development marks a critical step in PNB Housing Finance's efforts to strengthen its top management. The selection of a new MD and CEO is a pivotal decision that could shape the company's strategic direction and operational focus in the coming years.

Implications for PNB Housing Finance

The appointment of a new MD and CEO is likely to be watched closely by investors, stakeholders, and industry observers. The chosen candidate may be expected to:

1. Steer the company's growth strategy
2. Navigate the challenges in the housing finance sector
3. Ensure compliance with regulatory requirements
4. Drive innovation and competitiveness in the market

While the names and backgrounds of the shortlisted candidates have not been disclosed, their selection suggests that PNB Housing Finance is conducting a thorough and deliberate process to find the right leadership fit.

The final selection and appointment of the new MD and CEO will be a significant event for PNB Housing Finance, potentially influencing its market position and future performance in the competitive housing finance industry.

Investors and stakeholders will likely keep a close eye on further announcements regarding the final selection and appointment of the new leadership.

PNB Housing Finance Limited has reported strong financial results for the second quarter of fiscal year 2025-26, showcasing significant growth in its retail loan book and improved asset quality.

Key Highlights

• Retail loan book grew by 17% year-on-year to ₹79,439.00 crore
• Disbursements reached nearly ₹6,000.00 crore, marking a 20% sequential growth
• Gross NPA improved to 1.04% from 1.24% in the previous year
• Profit after tax grew 24% year-on-year to ₹582.00 crore

Loan Book and Disbursements

The company's retail loan book witnessed a robust growth of 17% year-on-year, reaching ₹79,439.00 crore. This growth was primarily driven by the Affordable and Emerging market segments, which together grew by 34% year-on-year and now contribute 38% of the retail loan book.

Disbursements for the quarter stood at nearly ₹6,000.00 crore, representing a strong 20% sequential growth. The Affordable and Emerging segments showed particularly impressive growth, with disbursements increasing by 31% and 23% year-on-year, respectively.

Asset Quality and Profitability

PNB Housing Finance reported a significant improvement in asset quality, with gross NPA decreasing to 1.04% from 1.24% in the previous year. The company recorded a credit cost reversal of 53 basis points, attributed to recoveries of ₹59.00 crore from the written-off pool and an ECL release of ₹70.00 crore from a corporate loan foreclosure.

Profit after tax grew by 24% year-on-year to ₹582.00 crore, driven by positive operating leverage and improved asset quality. The return on assets (ROA) for Q2 stood at 2.73%.

Affordable Housing Business (Roshni)

The company's Affordable housing business, branded as Roshni, showed remarkable growth:

• Loan book grew by 121% year-on-year to ₹6,531.00 crore
• Disbursements increased by 31% year-on-year to ₹828.00 crore
• Incremental yields improved to 12.1% from 12% a year ago

The company has expanded its Affordable housing presence to 198 branches across 130+ high-potential districts in 15 states.

Financial Metrics

Management Commentary

Jatul Anand, Executive Director of PNB Housing Finance, stated, "Despite the challenges we faced in Quarter 2, the business has continued to show steady progress, be it growth in loan book, disbursements, and improvement in asset quality."

The company maintains its growth guidance of 17-18% for the fiscal year and plans to add 40-50 branches annually. The management also indicated that the CEO selection process is ongoing, with disclosures to be made to stock exchanges at an appropriate time.

PNB Housing Finance remains committed to its strategy of focusing on high-yielding business segments while maintaining strong asset quality and risk-adjusted returns. The company's performance in Q2 FY26 demonstrates its resilience and ability to execute its growth plans effectively.