PNB Housing Finance to Raise ₹5,000 Crore via NCDs

8 Sep 2025 , 12:10 PM

PNB Housing Finance has cleared plans to raise as much as ₹5,000 crore through non-convertible debentures, giving the lender more room to strengthen its funding base. The issuance will be on a private placement basis and may be split across tranches, with the flexibility of a green shoe option.

For the June quarter, the housing finance company reported a sharp 23% rise in net profit at ₹533.5 crore, up from ₹432.8 crore in the same period last year. Revenue from operations came in at ₹2,076 crore, about 14% higher than a year ago, while net interest income jumped over 24% to ₹688 crore, reflecting healthier spreads.

Margins remained steady, with gross margin (net of acquisition cost) at 4.06%. Asset quality showed continued improvement: gross NPAs eased to 1.06% at the end of June, compared with 1.35% a year ago and 1.08% in March 2025.

The retail portfolio also saw stress levels reduce, with GNPA at 1.07%, against 1.39% in June 2024 and 1.09% in March 2025. Its corporate lending book stayed clean, with no NPAs reported in the period. Net NPAs stood at 0.69%, with the retail segment contributing 0.70%.

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