Housing & Urban Development Corporation Limited — PPTs, 08-05-2025: Investor Presentation

1. Financial Highlights:

HUDCO reported record loan sanctions and disbursements at ₹1,27,952 Cr (+55%) and ₹40,038 Cr (+123%) respectively. The loan portfolio expanded 35% to ₹1,24,828 Cr, led by urban infrastructure and affordable housing. Revenue from operations rose 32% to ₹10,311 Cr, with PAT up nearly 28% to ₹2,709 Cr. Net interest margin stood at 3.22% and interest spread at 2.06%. Asset quality remains strong with Gross NPA at 1.67% and Net NPA at 0.25%, supported by healthy provisioning (85.44%). Borrowings totaled ₹1,07,281 Cr, diversified across domestic and international sources to optimize funding costs (7.29% average).

2. Strategic Initiatives & Growth Drivers:

Focus remains on scaling affordable housing aligned with PMAY 2.0, and urban infrastructure financing through smart cities, AMRUT, and Jal Jeevan Mission schemes. Plans include cost optimization via tax-exempt bonds and tapping international markets, including a potential GMTN bond program. Capacity building and consultancy services are emphasized to improve project pipeline quality.

3. Business Developments:

New MoUs and partnerships span major projects including Rajasthan’s ₹1 Lakh Cr housing initiative, Maharashtra’s ₹10,000 Cr infrastructure drive, Bengaluru’s ₹27,000 Cr Peripheral Ring Road, and CRDA’s ₹11,000 Cr capital city development. Collaborations with government bodies on urban development funds and interest subsidy schemes strengthen HUDCO’s role as a key financing partner.

4. Market Position & Competitive Advantage:

As a Navratna CPSE and NBFC-IFC with AAA rating, HUDCO benefits from over five decades of experience and strong government backing, with 98.5% of loans government secured. Its pan-India presence, sector expertise, and alignment with flagship government programs provide scale and a competitive moat.

5. Investor Implications:

Strong financial growth, pristine asset quality, and deep government linkages highlight positive growth potential. Expanding loan book and improving spreads support sustained profitability, while international borrowing plans suggest better cost management. Low execution risk due to government guarantees and a healthy project pipeline make HUDCO an attractive investment for exposure to affordable housing and urban infrastructure financing.