GRUH Finance Ltd. - Profit After Tax for the Year Amounted to Rs. 145.88 Crores as Compared to Rs. 120.34 Crores for the Previous Year, an Increase of 21%

AHMEDABAD, India, April 18, 2013 /PRNewswire/ --

GRUH Finance Ltd. - Financial Results for the Period April 1, 2012 to March 31, 2013

The Board of Directors of GRUH Finance Ltd. (GRUH) - a subsidiary of HDFC Ltd. - has approved the annual audited accounts for the year ended March 31, 2013 at their meeting held in Delhi on April 12, 2013.

FINANCIAL RESULTS

Profit after tax for the year amounted to Rs. 145.88 crores as compared to Rs. 120.34 crores for the previous year, an increase of 21%.

The Board of Directors recommend payment of dividend for the year ended March 31, 2013 of Rs. 2.50 per equity share as against Rs. 2.30 per share in the previous year (Rs. 11.50 per share prior to split). Dividend payout ratio for the year inclusive of tax on dividend will be 36%.

Dividend and the distribution tax on dividend on equity shares have absorbed Rs. 44.62 crores and Rs. 7.58 crores respectively and the balance has been transferred to reserves.

Year on year financial performance is as follows:

                                    (Rs. in crore)
    Particulars             2012-13    2011-12    Growth (%)
    Net Interest Margin      217.75     179.19     22
    Operating Profit         193.80     157.38     23
    Profit Before Tax        196.81     162.76     21
    Profit After Tax         145.88     120.34     21
    Disbursements           2174.39    1486.52     46
    Loan Assets             5437.80    4066.80     34

Housing Loan Portfolio

The loan portfolio as at March 31, 2013 amounted to Rs. 5437.80 crores as against Rs. 4066.80 crores in the previous year - an increase of 34%.

LENDING OPERATIONS

Loan Disbursements

Loan disbursements during the year were Rs. 2174.39 crores as against Rs. 1486.52 crores in the previous year, representing a growth of 46%. Cumulative loan disbursements as of March 31, 2013 were Rs. 9516.58 crores.

Non-Performing Loans

The gross NPA as at March 31, 2013 stands at Rs 17.64 crores. Gross NPA constitute 0.32% of the total loan outstanding of Rs. 5437.80 crores as against gross NPA for the previous year at Rs. 21.11 crores or 0.52% of the outstanding loans.

Against Gross NPA of Rs. 17.64 crores, GRUH carries a total provision of Rs. 39.46 crores by way of Provision for Contingencies. This is including Rs. 24.52 crores for Standard Assets.

Capital Adequacy Ratio

Following the accretion to reserves of Rs. 93.68 crore from the current year's profits, the Networth of the Company has grown to Rs. 490.99 crore, up from Rs. 385.56 crore in the previous year.

Capital Adequacy Ratio (CAR) for the company stands at 14.56% as at March 31, 2013 as against the required minimum CAR of 12% as stipulated by NHB. The Tier I Capital stands at 12.93% while Tier II capital is 1.63%.

Rating Of Financial Instruments

GRUHs deposits portfolio has grown to Rs. 649.95 crores from Rs. 455.46 crores during the year indicating a growth of 43%. During the year, CRISIL upgraded the rating on GRUH's Fixed Deposit programme to FAAA from FAA+.

GRUH's Fixed Deposit programme is now rated "FAAA" by CRISIL and "MAA+" by ICRA. The rating of "FAAA" indicates the degree of safety of repayment of principal and interest is Very Strong whereas the rating of "MAA+" indicates "High Safety" as regards repayment of interest and principal.

GRUH's Short Term borrowings including Commercial Paper (CP) and short term NCD's is rated at "A1(+)" by CRISIL and ICRA and GRUH's Long term Non Convertible Debenture (NCD) is rated at "AA+" by ICRA.

GRUH's Subordinated Debt NCD's (Tier II) is rated AA+ by CRISIL and ICRA

Retail Network

GRUH expanded its retail office network to 134 offices across 7 states of the country from 120 offices in the last year. GRUH has 40 offices in Gujarat, 41 offices in Maharashtra, 14 offices in Karnataka, 18 offices in Madhya Pradesh, 9 offices in Rajasthan, 7 offices in Chhatisgarh and 5 offices in Tamil Nadu.

GRUH Finance Limited (GRUH) - a subsidiary of HDFC Ltd., is a Housing Finance Company (HFC) recognized by National Housing Bank.

GRUH offers loans to individuals for purchase, construction, repairs, renovation of dwelling units. GRUH also offers loans to the Self employed segment where in formal income proofs are not available. The income of such applicants is appraised based on field investigation and surrogate income proof. GRUH also offers loans to professionals for purchase of office premises.

Primary Media Contact: Pritesh Trivedi, [email protected], 91-97272-60309

Secondary Media Contact: Jagan Dave, [email protected], 91-98250-39860