HUDCO Q1 net profit ₹851 cr, NPAs shrink to 0.96%
Standalone net profit up 35% YoY; asset quality improves with zero slippages. Board declares ₹1.25 interim dividend; ₹2,140 cr raised via NCDs.
— 6 earlier stories on Housing & Urban Development Corporation Ltd. →What's new
- Net profit of ₹851 cr on total income of ₹3,737 cr.
- Gross impaired asset ratio falls to 0.96% from 1.34%; no fresh slippages.
- First interim dividend of ₹1.25/share declared; ₹2,140 cr raised via NCDs.
Why this matters
HUDCO's asset quality trajectory remains strong with NPAs nearly halved and four resolutions during the quarter. The results offer no surprise, but the clean quarter reinforces the credit story. The modest dividend yield of ~0.6% won't move income investors, but the NCD raising signals active funding of the pipeline.
What we're watching
- Whether the MoUs with states translate into actual loan disbursements.
- NIM trends given the borrowing cost environment.
- Any guidance on full-year dividend payout during the concall.
The full read
HUDCO's June-quarter results are a picture of steady improvement. Net profit jumped 35% YoY to ₹851 cr on total income of ₹3,737 cr, while the gross impaired asset ratio shrank to 0.96% from 1.34% a year earlier. There wasn't a single fresh slippage. Four old project loans were fully repaid. The board declared a first interim dividend of ₹1.25 per share, a modest payout that yields roughly 0.6% at the current market cap of ₹41,694 cr. Separately, HUDCO raised ₹2,140 cr through listed NCDs, a reminder that it needs to fund its lending pipeline. The results are routine — no surprise, no model revision risk. What matters next is whether the large MoUs with states convert into real loans. That story will come through the concall, not this filing.
Questions answered
- How much did HUDCO's net profit grow in Q1 FY27?
- Standalone net profit rose 35% YoY to ₹851 cr from ₹630 cr last year.
- What is the current gross NPA ratio and how has it changed?
- Gross NPA ratio fell to 0.96% from 1.34% a year ago, with no fresh slippages during the quarter.
- What dividend did HUDCO declare and what is the yield?
- HUDCO declared an interim dividend of ₹1.25 per share. Based on the current market cap of ₹41,694 cr, this represents a modest yield of about 0.6%.
- How much did HUDCO raise via debt during the quarter?
- HUDCO raised ₹2,140 crore through listed non-convertible debentures to fund business operations.
- Are the quarterly results a material surprise for the market?
- No. The results are routine and backward-looking; the market typically reacts more to the management commentary in the concall. The dividend is consistent with established policy.
Housing & Urban Development Corporation Ltd.
Latest quarter · Jun 2026
Leverage & growth
Story so far
All notes on HUDCO →- 27 Jul 2026 · 3:16 PM IST HUDCO Q1 net profit ₹851 cr, NPAs shrink to 0.96%
- today HUDCO guides ₹65,000 cr disbursements in FY27, legacy NPAs in sight
- 1d ago HUDCO's Q1 net profit jumps 35% to ₹851 cr, NPAs shrink further
- 17d ago HUDCO signs third ₹1 lakh cr MoU in a month, this time with Odisha
- 25d ago HUDCO signs second ₹1 lakh crore MoU in a month, this time with Bihar