Housing and Urban Development (HUDCO) Q4 07/08 earnings summary

Executive summary

• FY08 net profit was Rs 3,737,319 thousand; auditors highlighted provisioning and deferred-tax accounting matters that materially affect reported profit.

• Auditors gave a qualified view on several regulatory, reconciliation and legal matters; the accounts otherwise presented a true and fair view subject to those observations.

Financial highlights

• Income from loans, investments, deposits and others plus other income totaled Rs 27,289,493 thousand, versus Rs 26,102,637 thousand in FY07.

• Profit before tax was Rs 5,583,907 thousand; net profit was Rs 3,737,319 thousand, versus Rs 3,083,751 thousand in FY07.

• Interest and financial charges were Rs 17,256,118 thousand, down from Rs 17,937,819 thousand; provisions on loans, debtors and advances were Rs 2,136,790 thousand.

• Operating cash flow was Rs 2,440,422 thousand, versus Rs 7,191,068 thousand; cash and cash equivalents fell by Rs 8,379,261 thousand during FY08.

Segment performance

• Housing finance loan principal outstanding was Rs 7,347.44 crore at 31 March 2008, versus Rs 7,634.35 crore; non-housing finance outstanding was Rs 14,758.02 crore, versus Rs 14,261.87 crore.

• Housing and infrastructure finance was the primary business; the accounts classified activities as a single reportable segment.