PNB Housing Finance has guided for 18-20% growth in its gross loan portfolio this fiscal year, significantly higher than the 15% growth recorded in FY26. According to reports from The Economic Times, the third-largest housing finance company in India expects to gain market share as its projected growth may surpass the industry average. The projection is well above the housing loan sector's average growth of 10.5% year-on-year as of December, demonstrating the company's confidence in market conditions. Managing Director Ajai Kumar Shukla stated that the growth will be driven by affordable and emerging market segments, with a moderate 10% growth expected in the prime segment.
The lender aims to reach a loan book of ₹1 lakh crore by FY27 and plans to increase the share of affordable and emerging segments to 50% of its loan book over the next two years from the current 40%. As reported by The Economic Times, Managing Director Ajai Kumar Shukla stated that the growth will be driven by affordable and emerging market segments, with a moderate 10% growth expected in the prime segment. The company currently operates 393 branches, having opened 37 in FY26 and 50 in FY25. Shukla told The Economic Times that the immediate focus will be to scale up operations at new branches, with further expansion to be reviewed after the second quarter.
PNB Housing Finance expects net interest margin at 3.55-3.65% in FY27, compared with 3.69% in the fourth quarter. According to reports from The Economic Times, the company plans to recover approximately ₹200 crore from its written-off loan pool, which is expected to keep credit costs benign. The company recovered ₹120 crore from retail and ₹212 crore from corporate written-off accounts in FY26, with its gross non-performing asset ratio standing at 0.93% at the end of March. The lender expects credit costs to remain benign, aided by recoveries from a written-off loan pool of ₹825 crore.
Shukla told The Economic Times that the company expects no spillover impact on housing demand from the West Asia crisis, with the lender's gross loan portfolio having grown 15% in FY26. These segments typically offer higher yields than the prime housing segment, supporting the company's strategy to focus on emerging market opportunities. The company's gross loan portfolio has grown 15% in FY26, demonstrating resilience despite market challenges. These segments typically offer higher yields than the prime housing segment, supporting the company's strategy to focus on emerging market opportunities.
