LIC Housing Finance reports PAT of Rs 1,353.87 cr in Q2

Visakhapatnam: LIC Housing Finance Ltd.set up in 1989 has recorded a steady performance in Q2 FY2025-26 with a net profit after tax (PAT) of Rs1,353.87 crore, registering a 2 per cent year-on-year growth, and total disbursements of Rs16,313 crore.

The company’s revenue from operations grew 3 per cent to Rs7,163 crore, while Net Interest Income (NII) stood at Rs2,038 crore, up 3 per cent from the previous year. Net Interest Margin (NIM) for the quarter was 2.62 per cent, and the Profit Before Tax stood at Rs1,704.71 crore, up 2 per cent year-on-year.

LIC HFL’s loan portfolio rose 6 per cent to Rs3,11,816 crore, driven by a 5 per cent growth in the individual home loan segment to Rs2,64,096 crore. Asset quality improved, with Stage 3 exposure reducing to 2.51 per cent from 3.06 per cent a year ago, and ECL provisions at Rs5,074 crore with 53 per cent coverage. For the half-year ended September 2025, the company reported a 3 per cent growth in net profit to Rs2,713.79 crore and a 5 per cent rise in total income to Rs14,403 crore, reflecting consistent momentum in both disbursements and earnings.

Addressing senior officials here on Monday after the opening of a sub-regional office in Vijayawada to focus exclusively on operations in Andhra Pradesh, Tribhuwan Adhikari, MD & CEO, said that the performance reflected sustained momentum in the housing finance sector supported by lower interest rates and favourable market sentiment. He added that LIC HFL remains focused on the affordable and mid-segment housing markets, leveraging partnerships and AI-enabled processes to deliver a seamless digital experience for new-age homebuyers.

Projecting high growth potential in Andhra Pradesh mainly around Visakhapatnam and Vijayawada cities, he said to concentrate more, they have opened a sub-regional office. Earlier, the regional office located in Hyderabad was looking after business in AP and Telangana. In H-1 of current fiscal, the company recorded a business of Rs5,634 crore as against Rs13,050 crore last year. This year, they are expecting a business of Rs15,000 crore in AP and Telangana.

Adhikari later told Bizz Buzz that they are expecting to advance loans to the tune of Rs4,250 crore in AP this year as against Rs3,700 crore. Projects like $15 billion AI Data Center Hub by Google and capital development projects in Amaravati will propel a huge demand for realty sector in Visakhapatnam and Vijayawada regions.