Financial Results for the Half Year Ended September 30, 2013

GRUH FINANCE LTD.
FINANCIAL RESULTS FOR THE HALF YEAR ENDED SEPTEMBER 30, 2013

The Board of Directors of GRUH Finance Ltd. (GRUH) – a subsidiary of HDFC Ltd. – has approved the accounts for the half year ended September 30, 2013 at their meeting held in Mumbai on October 11, 2013.

FINANCIAL RESULTS

Profit after tax for the period amounted to 68.12 crores as compared to 53.93 crores for the previous year – an increase of 26%.

Housing Loan Portfolio

The loan portfolio as at September 30, 2013 amounted to 6142.90 crores as against 4661.31 crores in the previous year – an increase of 32%.

LENDING OPERATIONS

Loan Disbursements

Loan disbursements during the period were 1197.15 crores as against 959.96 crores in the previous year indicating a growth of 25%.

Cumulative loan disbursements as of September 30, 2013 were 10713.93 crores.

Non-Performing Loans

The gross NPA as at September 30, 2013 stands at 24.93 crores or 0.41% (total loan outstanding portfolio of 6142.90 crores).

GRUH is required to carry a provision of 8.34 crore in the Balance Sheet as at September 30, 2013 on its NPA portfolio as per the guidelines of NHB. GRUH has also made provision for standard loan assets aggregating 26.90 crore in line with NHB guidelines. Additionally, GRUH carries a provision for contingencies of 17.04 crore.

As a result, Net NPA as at September 30, 2013 stands at NIL indicating Net NPA to loans of NIL.

DEPOSITS

GRUH’s deposit portfolio has increased to 834.11 crores, up from 579.01 crores as at September 30, 2012 indicating a growth of 44%. GRUH’s Fixed Deposit programme is rated “AAA” by CRISIL and ICRA. The rating of “AAA” indicates that the degree of safety of repayment and principal is Very Strong.

GRUH’s Short Term borrowings including Commercial Paper (CP) and short term NCD’s is rated “A1(+)” by CRISIL and ICRA and Long Term Debt and Sub Ordinate Debt programmes are rated “AA+” by CRISIL and ICRA.

RETAIL NETWORK

GRUH has a network of 136 retail offices across 7 states of the country. GRUH has 40 offices in Gujarat, 41 offices in Maharashtra, 14 offices in Karnataka, 19 offices in Madhya Pradesh, 10 offices in Rajasthan, 7 offices in Chhatisgarh and 5 offices in Tamil Nadu.

CAPITAL ADEQUACY RATIO

The Capital Adequacy Ratio (CAR) of the company as on September 30, 2013 is 17.00% of which the Tier I CAR is 15.26% and Tier II is 1.74%. The CAR is subject to dividend payout

Highlights of Operational Performance

( in crore)

October 11, 2013