GRUH Finance Ltd. – Profit After Tax for the Year Amounted to Rs. 186.20 Crores as Compared to Rs. 155.76 Crores for the Previous Year, an Increase of 20%

AHMEDABAD, India, January , 2017

Financial Results for Nine Months Ended December 31, 2016

The Board of Directors of GRUH Finance Ltd. (GRUH) – a subsidiary of HDFC Ltd. – has approved the accounts for the quarter ended December 31, 2016 at their meeting held in Ahmedabad on January 13, 2017.

FINANCIAL RESULTS

Profit after tax for the year amounted to Rs. 186.20 crores as compared to Rs. 155.76 crores for the previous year, an increase of 20%.

Loan Portfolio

The loan portfolio as at December 31, 2016 amounted to Rs. 12534.01 crores as against Rs. 10519.36 crores in the previous year – an increase of 19%.

LENDING OPERATIONS

Loan Disbursements

Loan disbursements during the period were Rs. 2870.09 crores as against Rs. 2773.91 crores in the previous period indicating a growth of 3%.

Cumulative loan disbursements as of December 31, 2016 were Rs. 21941.79 crores.

Non-Performing Loans

The aggregate NPAs of the company at Rs. 68.17 crore are 0.54% of the Loan Assets, without taking into account relaxation given by NHB vide circular # NHB(ND)/DRS/Policy Circular No. 77/2016-17 dated November 21, 2016 as against 0.62% of the Loan Assets as on December 31, 2015.

GRUH is required to carry a provision of Rs. 15.63 crore on its Gross NPA portfolio of Rs. 68.17 crore as on December 31, 2016 and Rs. 59.04 crores towards standard assets i.e. a total provision of Rs. 74.67 crore.

However, as a prudent measure, GRUH has made more than the required provision in its books. The total provision carried in the books including the provision for standard assets is Rs. 127.22 crore. As a result, the Net NPA as at December 31, 2016 stands at Rs. NIL indicating Net NPA to loans of NIL.

DEPOSITS

GRUH’s deposit portfolio has increased to Rs. 1503.29 crores, up from Rs. 1389.38 crores last year. GRUH’s Fixed Deposit programme has been rated “FAAA” by CRISIL and “MAAA” by ICRA. The rating of “FAAA” and “MAAA” indicates ‘Highest Safety” as regards repayment of interest and principal. GRUH’s Commercial Paper (CP) is rated at “A1(+)” by ICRA and CRISIL and Non Convertible Debenture (NCD) is rated at “AAA” by ICRA and CRISIL.

RETAIL NETWORK

GRUH has a network of 183 retail offices across 10 states of the country. GRUH has 48 offices in Gujarat, 50 offices in Maharashtra, 17 offices in Karnataka, 29 offices in Madhya Pradesh, 12 offices in Rajasthan, 12 offices in Chhatisgarh, 10 offices in Tamil Nadu, 3 in Uttar Pradesh and one office each in Bihar and Jharkhand. For more information, visit: www.gruh.com

Highlights of Operational Performance

(Rs. in crore)

    
                             December 31,    December 31,
    Detail                       2016            2015      Growth (%)
    Net Interest Margin         375.14          303.90         23
    Non Interest Expenses        65.50          60.22          9
    Operating Profit            333.08          271.48         23
    Profit Before Tax           282.04          236.92         19
    Profit After Tax            186.20          155.76         20
    Outstanding loan
    Portfolio                  12534.01        10519.36        19