LIC Housing Finance has reported a strong financial performance for FY 2025-26, with profit after tax increasing by 3% to ₹5,595 Crore. The company’s total loan portfolio grew by 4% to ₹3,20,707 Crore, driven by robust growth in individual home loans. Net interest margin remained stable at 2.68%, and gross NPAs reduced to 2.15%, reflecting improved asset quality and effective risk management.
Strong Financial Performance in FY 2025-26
LIC Housing Finance has announced its financial results for the fiscal year 2025-26, showcasing a commendable performance characterized by growth in loan disbursement, improved asset quality, and stable profitability. The company’s total loan portfolio saw a significant increase, reaching ₹3,20,707 Crore, a 4% rise from the previous year’s ₹3,07,732 Crore. This expansion was primarily driven by a 6% increase in Individual Home Loan disbursements, which aggregated to ₹54,503 Crore, accounting for 83% of the total disbursements.
Key Financial Highlights
The company reported a Profit Before Tax of ₹7,080.62 Crore, a 3.28% increase from the prior year, and a Profit After Tax of ₹5,595.15 Crore, reflecting a 3.06% growth. Net Interest Margin was maintained at a healthy 2.68%, and Gross NPAs reduced to 2.15% from 2.47% in the previous year. The cost-to-income ratio also declined, indicating improved operational efficiency.
Industry Overview and Outlook
The housing finance sector continues to witness strong demand, driven by favorable economic fundamentals and supportive government initiatives. LIC Housing Finance, with its extensive distribution network and customer-centric approach, is well-positioned to capitalize on these opportunities. The company anticipates continued growth by focusing on digital initiatives, enhancing operational efficiency, and expanding its reach in Tier II and Tier III cities.
Source: BSE
