PNB Housing Finance Shares Surge 10% on Strong Q4 Results; AUM Crosses ₹80,000 Crore

Mumbai, April 29: Shares of PNB Housing Finance Ltd jumped 10 per cent in early trade on Tuesday following the announcement of its strong Q4 FY25 financial performance, signaling renewed investor confidence in the company’s growth trajectory and operational stability.

The stock opened with a 7.48 per cent gain on the National Stock Exchange (NSE) and was trading at ₹1,084.45 apiece by 9:35 AM. This latest rally adds to a 20 per cent monthly gain, fueled by optimism over the company’s improving fundamentals and strategic focus on affordable housing.

Robust Q4 Performance Drives Rally

For the quarter ended March 31, 2025, PNB Housing Finance posted a 28 per cent year-on-year rise in net profit to ₹567.1 crore, bolstered by increased interest income and a reversal of provisions. Net interest income grew 19.2 per cent, while a provision write-back of ₹64.85 crore further strengthened the bottom line. In contrast, the company had reported a provision expense of ₹6.63 crore in the corresponding quarter last year.

Additional revenues from other income streams rose by 10 per cent year-on-year, further supporting the earnings surge.

Asset Quality Improves, NPAs Decline

PNB Housing’s asset quality continued its improving trend. Gross non-performing assets (GNPA) declined to 1.08 per cent, down from 1.19 per cent in the previous quarter, while Net NPA dropped to 0.69 per cent from 0.8 per cent, reflecting better recoveries and improved credit discipline.

AUM Crosses ₹80,000 Crore

A key highlight of the quarter was the company’s Assets Under Management (AUM) surpassing the ₹80,000 crore milestone. AUM grew by 13 per cent year-on-year and 4.5 per cent sequentially, indicating strong demand and efficient disbursals.

Retail loan assets, which constitute the bulk of the business, rose by 18.2 per cent to reach ₹74,802 crore. The company’s affordable housing segment showed significant traction, with loan volumes in this category crossing ₹5,000 crore.

Dividend and Operational Metrics

The Board of Directors has declared a final dividend of ₹5 per share for FY25. Operational efficiency also improved, with Return on Assets (RoA) rising by 35 basis points to 2.55 per cent, showcasing better profitability management.

Leadership Commentary

Girish Kousgi, Managing Director and CEO of PNB Housing Finance, attributed the growth to “strong collections, prudent provisioning, and a sharper focus on the affordable housing market.”

He further noted that the company’s strategic alignment with high-growth segments and digital process enhancements have strengthened its competitive position in the housing finance sector.