The Mumbai-based lender, LIC Housing Finance reported more than double hike in its net profit at Rs 243.05 crore for the second quarter of this fiscal against Rs 98.39 crore for the corresponding quarter of the previous year.
LIC Housing Finance also earned higher interest income on home loans and the provisioning for the quarter has steeped down.
The Interest Income stood at Rs 1808 crore, which is 24% more than the previous year. Total provision for the quarter reduced to about Rs 7 crore from Rs 204.69 crore a year ago. The firm said, "During the financial year 2011-12, the company had aligned its provisioning policy on standard/NPA accounts to match the revised NHB norms".
The individual loan disbursement increased 21 per cent to Rs 5716 crore. Mr. V K Sharma, Chief Executive said, "It is encouraging to note that there is a 10 per cent increase in number of customers, which is a very good sign. Also, the incremental costs of funds are showing some trends of easing".