PNB Housing Finance’s stock has experienced a remarkable surge, climbing up to 10% in Tuesday’s trading session following the release of its impressive fourth-quarter results. By 9:35 AM, shares were valued at ₹1,084.45 on the National Stock Exchange (NSE). Today’s trading saw the stock open with a 7.48% increase, marking a continuous upward trajectory over the past two days. Remarkably, PNB Housing Finance shares have surged over 20.30% in just one month.

Strong Financial Performance

The company’s fourth-quarter results for 2024-25 revealed a substantial 19.2% year-on-year rise in net interest income, while net profit soared by an impressive 28% to reach ₹567.1 crore. This robust profit growth was bolstered by a provision write-back of ₹64.85 crore, a stark contrast to the ₹6.63 crore provision expense recorded during the same quarter last year. Notably, in the previous quarter, the company had also reported a write-back of ₹36.13 crore.

• Key Financial Highlights:
  • Net Interest Income: 19.2% YoY increase
  • Net Profit: ₹567.1 crore, a 28% rise
  • Provision Write-back: ₹64.85 crore

Improvement in Asset Quality

PNB Housing Finance proudly showcased its improved asset quality metrics, with gross NPA (Non-Performing Assets) decreasing to 1.08% from 1.19% in the previous quarter. Net NPA also demonstrated improvement, falling from 0.8% to 0.69%. Furthermore, the company’s Assets Under Management (AUM) has exceeded ₹80,000 crore, indicating a 13% year-on-year growth and a 4.5% sequential increase.

• Asset Quality Metrics:
  • Gross NPA: Reduced to 1.08%
  • Net NPA: Improved to 0.69%
  • AUM: Surpassed ₹80,000 crore

Retail Loan Growth

The retail loan portfolio showed significant strength, expanding by 18.2% year-on-year to reach ₹74,802 crore as of March 31, 2025. This growth was largely driven by advancements in the affordable housing and emerging market sectors. Notably, the affordable loan segment crossed the pivotal mark of ₹5,000 crore during the fiscal year.

Girish Kousgi, Managing Director and CEO of PNB Housing Finance, stated, “With a focus on effective collections, our Gross NPA improved to 1.08% as of March 31, 2025, down from 1.50% a year prior. Our robust business growth and solid financial performance led to a 35 basis points increase in Return on Assets (RoA) to 2.55% for FY25.”

• Retail Loan Growth Insights:
  • Retail Loan Asset Growth: 18.2% YoY
  • Affordable Segment Milestone: Exceeded ₹5,000 crore
  • RoA: Increased to 2.55%

Conclusion

With a strong financial performance and improved asset quality, PNB Housing Finance is clearly on a growth trajectory. Investors are optimistic, as reflected in the rising share prices, and the company’s solid fundamentals suggest a promising outlook for the future.