PNB Housing Finance announced its Q3 FY26 results, reporting a 16% Y-o-Y growth in the retail loan book, reaching INR 81,931 crores. The company is strategically focusing on Affordable and Emerging Market segments, which now constitute 39% of the retail loan book. Gross NPA improved to 1.04%. NIM remained stable at 3.63%. The company aims for further growth in emerging markets and affordable housing segments.
Financial Performance Highlights
PNB Housing Finance showcased a strong performance in Q3 FY26, marked by significant growth in key areas:
- Retail loan book grew by 16% Y-o-Y, totaling INR 81,931 crores as of December 31, 2025.
- The company’s total loan book reached INR 82,203 crores.
- Affordable and Emerging Market segments comprise nearly 39% of the retail loan book.
- Gross NPA improved to 1.04% as of December 31, 2025.
- NIM remained stable at 3.63% during the quarter.
- The company achieved an ROA of 2.57% for 9M FY26 (annualized).
Strategic Focus on Affordable and Emerging Markets
A key strategic priority for PNB Housing Finance is the expansion of its Affordable and Emerging Market segments. The company is committed to:
- Scaling the Affordable and Emerging Markets segment due to strong demand and long-term growth potential. The loan book for these segments grew 31% Y-o-Y.
- Beginning Construction Finance business in Tier 1 cities and Emerging Developer Finance with ticket sizes up to INR 25-30 crores to improve yield and NIM.
Asset Quality and Borrowing
PNB Housing Finance continues to maintain a strong focus on asset quality and efficient borrowing:
- The company recovered INR 49 crores from retail and corporate segments during the quarter.
- Cost of borrowing improved sequentially by 19 bps to 7.50% in Q3 FY26.
- The company expects to add 40 to 50 new branches annually, to deepen its presence in Tier 2 and Tier 3 cities.
Growth Outlook
PNB Housing Finance is optimistic about its future growth and has set the following targets:
- Continue the guidance of retail book growth in the range of 17% to 18%.
- Expect the Affordable and Emerging Markets segment to grow to 45%-50% of the total book.
Source: BSE
