Housing and Urban Development Corporation (HUDCO) shares fell over 8% on Friday, 15 May, hitting an intraday low of ₹205.07 on NSE after reporting mixed performance in Q4FY26. According to latest session data, the stock was trading at ₹209.96, down 6.00% at 10:49 AM IST on 15 May 2026, with the stock opening at ₹225 versus the prior close of ₹223.4. The multibagger PSU stock declined even after the state-run housing finance and infrastructure lender posted strong profitability during the March quarter and announced a dividend for shareholders. The stock's intraday trading range moved between ₹205.07 and ₹226.99, with an average price of ₹216.03 for the day, as per the provided trading snapshot.
HUDCO reported a net profit of ₹1,981.31 crore for Q4FY26, representing a 172.2% increase from ₹727.74 crore reported in the corresponding quarter last year. However, the profit surge was largely explained by a deferred tax gain of ₹1,530 crore, which was the main reason net profit rose sharply despite a 39% decline in profit before tax (PBT) to ₹621 crore from ₹1,020 crore in the year-ago quarter. The company's earnings per share (EPS) for Q4FY26 was stated as 9.9. This divergence between net profit and pre-tax profit was central to how investors interpreted the result, with markets often treating such gains as less repeatable compared to operating profit expansion. The company's total expenses increased by 51.7% year-on-year, raising questions about near-term operating leverage even when revenue is growing.
The company's total income grew 27% year-on-year to ₹3,625.077 crore for Q4FY26, compared with ₹2,854.91 crore in the same quarter last year. Revenue from operations increased 25% to ₹3,563 crore in Q4FY26, from ₹2,845 crore in the year-ago quarter, while interest income, described as the company's primary revenue source, rose 26% year-on-year to ₹3,555 crore from ₹2,821 crore. Core income measured through Net Interest Income (NII) rose 16.6% year-on-year to ₹1,149.7 crore from ₹985.7 crore in the year-ago quarter. The company's asset quality remained broadly stable during the quarter, with Gross Credit Impaired Assets Ratio improving marginally to 1.04% from 1.08% in the December quarter.
For the full financial year FY26, HUDCO reported total revenue of ₹13,150 crore, reflecting a growth of 27.5% over ₹10,311 crore recorded in FY25. As reported by Business Standard, profit after tax for FY26 increased sharply to ₹4,034.37 crore from ₹2,709.14 crore in the previous financial year. The company's total loan book increased 28.76% to ₹1.60 trillion in FY26 compared to ₹1.24 trillion in FY25, while total sanctions rose 28.89% to ₹1.64 trillion. Loan disbursements during FY26 increased significantly to ₹51,194 crore. The company's annual profit before tax declined 11% to ₹3,221 crore from ₹3,637 crore in the previous financial year, while annual interest income climbed 28% to ₹13,096 crore from ₹10,200 crore.
Alongside the Q4 results, HUDCO's Board of Directors recommended a final dividend of ₹1.5 per share for FY26, subject to shareholder approval at the upcoming Annual General Meeting. The company also declared interim dividends during FY2025-26, including an "Interim 4" dividend of ₹1.25 per share (ex-date March 27, 2026), "Interim 3" of ₹1.15 per share (ex-date February 6, 2026), and "Interim 2" of ₹1.00 per share (ex-date November 19, 2025). A dividend yield figure of 1.86 was listed in the provided table. According to Harish Jujarey, AVP and head of technical equity research at Prithvi Finmart, HUDCO stock witnessed a strong recovery from March lows near ₹160 levels and rallied sharply to ₹235 levels last week. However, the stock faces strong resistance near the crucial ₹235–240 zone, which coincides with multiple previous highs as well as a downward sloping trendline resistance. Following the quarterly results release, the stock declined nearly 7% in today's session, currently trading around ₹209 levels.
