Housing & Urban Development Corporation's Q1 FY 2025-26 Quarterly Results

Result Summary

• Housing & Urban Development Corporation Ltd reported a 34.2% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Jun (Q1 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 34.1%.
• Its expenses for the quarter were up by 62.4% QoQ and 44.9% YoY.
• The net profit decreased 10.0% QoQ and increased 13.0% YoY.
• The earnings per share (EPS) of Housing & Urban Development Corporation Ltd stood at 3.1 during Q1 FY 2025-26.

Financial Statments for Q1 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Housing & Urban Development Corporation Ltd (HUDCO) is a public sector company in India primarily engaged in providing long-term finance for the construction of houses and undertaking urban development projects. The company plays a significant role in the housing sector, often working in collaboration with various governmental and private entities to facilitate urban infrastructure development. While specific recent developments are not provided, HUDCO, as a government enterprise, typically aligns with national policies on housing and urban development, which may include initiatives for affordable housing or smart city projects. The company's operations are deeply integrated into the broader real estate and infrastructure sectors, serving as a vital financier for both residential and commercial projects.

Revenue

In Q1FY26, Housing & Urban Development Corporation Ltd reported a total income of ₹2945.47 crores. This represents a significant increase of 34.2% quarter-over-quarter (QoQ) from ₹2194.04 crores in Q4FY25 and a 34.1% year-over-year (YoY) rise from ₹2197.19 crores in Q1FY25. This growth in total income highlights a robust expansion over both the quarterly and annual periods. The increase in revenue could be attributed to a surge in the company's financing activities or enhanced interest income from its lending operations. The substantial rise in total income compared to the previous periods reflects the company's expanding footprint in the housing finance and urban development sectors.

Profitability

For Q1FY26, the company's profit before tax stood at ₹857.23 crores, reflecting a decrease of 9.1% QoQ from ₹943.12 crores in Q4FY25. However, it shows an increase of 25.2% YoY from ₹684.70 crores in Q1FY25. The tax expense for the quarter was ₹227.00 crores, which decreased by 6.6% QoQ from ₹242.96 crores in Q4FY25, yet it was significantly higher by 78.8% YoY compared to ₹126.95 crores in Q1FY25. Profit after tax (PAT) for Q1FY26 was ₹630.23 crores, down by 10.0% QoQ from ₹700.16 crores in Q4FY25, but showing a growth of 13.0% YoY from ₹557.75 crores in Q1FY25. The earnings per share (EPS) for Q1FY26 was reported at ₹3.10, which represents a decrease of 11.4% QoQ from ₹3.50 in Q4FY25, but an increase of 10.7% YoY from ₹2.80 in Q1FY25. These figures indicate a mixed performance in profitability metrics, with YoY improvements but quarterly declines.

Operating Metrics

Total expenses for Q1FY26 were reported at ₹2191.19 crores, marking a significant increase of 62.4% QoQ from ₹1349.14 crores in Q4FY25 and a 44.9% rise YoY from ₹1512.49 crores in Q1FY25. This substantial increase in expenses could be associated with higher operational or financing costs, which may have impacted the company's profit margins. The substantial rise in expenses highlights the need for careful management of cost structures to maintain profitability. The operating metrics portray a scenario where revenue has grown considerably, yet the increased expenses have exerted pressure on the overall profitability, reflecting the balance HUDCO must maintain between growth and operational efficiency.