LIC Housing Finance reported a 9.4% year-on-year increase in net profit after tax to ₹1,488.32 crore for the first quarter ended June 30, 2026, compared to ₹1,359.92 crore in the same period last year. According to the company's latest financial results, total loan disbursements surged 14.5% to ₹15,014 crore, signaling robust demand across both individual and project lending segments. The total outstanding loan portfolio grew 4% to ₹322,098 crore from ₹309,587 crore as of June 30, 2025. In its post-results concall, management outlined ambitious targets including a NIM goal of 2.6% for FY27, a 15% business growth ambition for the July–September period, and a developer loan target of ₹4,000 crore by FY27 with potential to reach ₹7,000–₹8,000 crore.
Indian equity markets witnessed stock-specific action on July 31, with the benchmark indices trading in a narrow range as investors digested another batch of June-quarter earnings. According to reports from Moneycontrol, while frontline indices remained subdued, earnings-driven moves kept several stocks in focus. Market breadth remained firmly positive with 2,206 stocks advancing against 1,101 declining on the BSE, indicating broad-based but selective buying.
LIC Housing Finance slipped about 3% despite reporting a 9.4% increase in net profit to ₹1,488.32 crore for the June quarter. As reported by Moneycontrol, the company's net interest income remained resilient, rising 0.5% year-on-year to ₹2,075.52 crore. The decline in stock price reflects investor concerns about the modest growth in core banking metrics despite the overall profit increase. Revenue from operations contracted slightly by 1% to ₹7,062.45 crore from ₹7,169.32 crore in Q1FY26, while profit before tax grew 11% to ₹1,888.43 crore. The Net Interest Margin (NIM) narrowed to 2.58% from 2.68% in Q1FY26, indicating margin pressure amidst competitive lending rates.
The company demonstrated significant improvement in asset quality metrics during the quarter. Stage 3 Exposure at Default declined to 2.14% as of June 30, 2026, from 2.62% in the previous year, contributing to lower provisioning requirements under the ECL framework. The Provision Coverage Ratio (PCR) for Stage 3 assets stood at 48%. Under IndAS 109, the total ECL provision decreased to ₹4,398 crore as of June 30, 2026, from ₹5,051 crore a year earlier, reflecting a more favorable credit risk outlook. The Individual Home Loan portfolio stood at ₹271,979 crore, up 4% from ₹262,411 crore a year ago, while the Project Loan portfolio expanded 8% to ₹9,687 crore from ₹8,950 crore. The 459% spike in project loan disbursements indicates a deliberate strategic push into developer financing, which typically carries higher yields.
Among sectors, the Nifty IT index declined nearly 2% while the FMCG index slipped 0.5%. In contrast, the auto, power and capital goods indices advanced around 1% each, reflecting buying interest in select pockets of the market. As reported by Moneycontrol, traders noted that the market continued to be driven by company-specific triggers, with earnings announcements and corporate developments dictating stock moves. Volatility stayed contained despite mixed global cues, with investors awaiting fresh domestic triggers.
On the positive side, Pricol gained around 4% after posting a strong set of quarterly numbers. According to reports from Moneycontrol, the company's net profit jumped 34.3% year-on-year to ₹67 crore, while revenue rose 23.5% to ₹1,105.4 crore, supported by healthy business growth. Thermax shed nearly 11% after reporting an 83.4% year-on-year decline in June-quarter net profit to ₹25.2 crore, despite a 6.7% rise in revenue to ₹2,302.7 crore.
