LIC Housing Finance Limited has reported a steady performance for the third quarter of FY26, reflecting stable growth in its core housing finance business amid improving margins and resilient asset quality.
The company has announced its unaudited financial results for the quarter ended December 31, 2025, following approval by its Board of Directors, highlighting sustained momentum in disbursements, a growing loan portfolio and consistent earnings performance.
For Q3 FY26, the housing finance major has recorded a profit after tax of Rs 1,383.95 crore, while net interest income for the quarter has risen to Rs 2,102 crore, marking a growth of 5 per cent over the same period last year. Net interest margin for the quarter has stood at 2.69 per cent, supported by a reduction in borrowing costs and a calibrated approach to asset-liability management. Total revenue from operations has increased to Rs 7,187 crore, registering a year-on-year growth of 2 per cent.
Loan disbursements during the quarter have reached Rs 16,096 crore, up 4 per cent compared to the corresponding quarter of the previous financial year. Individual home loans have continued to anchor growth, with disbursements rising 7 per cent to Rs 13,094 crore, while non-housing individual loans have grown 10 per cent to Rs 2,304 crore. The outstanding loan portfolio has expanded to Rs 3,14,268 crore as of December 31, 2025, reflecting a year-on-year growth of 5 per cent, driven largely by steady demand across retail housing segments.
Asset quality has remained stable during the quarter, with stage 3 exposure declining to 2.45 per cent, compared to 2.75 per cent a year earlier, indicating controlled credit risk and effective provisioning practices. Provisions under the expected credit loss framework have stood at Rs 5,105 crore, providing a coverage ratio of 54 per cent. Sequential improvement in margins and asset quality has reinforced the company’s balance sheet strength as it enters the final quarter of the financial year.
Over the nine-month period ended December 31, 2025, the company has reported revenue from operations of Rs 21,583 crore, up 4 per cent year-on-year, while net profit after tax has increased to Rs 4,097.74 crore. Management has indicated that the traditionally strong January–March quarter, coupled with expectations of policy support for the housing sector in the upcoming Union Budget, is likely to support sustained demand across affordable and mid-income housing segments and help close the financial year on a stable footing.
Send news announcements/press releases to:
editor@thefoundermedia.com
