Housing and Urban Development (HUDCO) Q4 11/12 earnings summary

Executive summary

• FY12 PAT reached a record Rs 630.33 crore vs Rs 550.03 crore; total loan sanctions rose to Rs 20,511 crore and releases to Rs 6,905 crore.

• Operations emphasized affordable housing and urban infrastructure; 96.37% of 422,524 housing units sanctioned were for EWS/LIG beneficiaries.

Financial highlights

• Gross income was Rs 2,778.63 crore vs Rs 2,278.59 crore; revenue from operations was Rs 2,738.36 crore vs Rs 2,263.46 crore.

• PBT after prior-period adjustment was Rs 939.97 crore vs Rs 821.11 crore; PAT was Rs 630.33 crore vs Rs 550.03 crore.

• EPS was Rs 314.87 vs Rs 274.75; reserves and surplus reached Rs 3,986.99 crore at 31 March 2012.

Outlook and guidance

• FY13 MoU targets at the Excellent level: sanctions of Rs 22,006 crore and releases exceeding Rs 6,287 crore.

• FY13 performance parameters include releases, sanctions, borrowing cost, incremental spread, gross margin and NPA; ministry support is intended to aid lower-cost funding.

• Government incentives announced for FY13 included ECB access for low-cost housing, continued 1% interest subvention on qualifying loans, and a 150% investment-linked deduction for affordable housing projects.