HUDCO Q2 Results: Profit Rises 28% to Rs 911 Crore; Declares Rs 1.35 Interim Dividend – Indian PSU
Housing and Urban Development Corporation Limited (HUDCO) has reported a strong financial performance for the second quarter of FY 2026-27, with consolidated net profit increasing 28.3% year-on-year to Rs 911.04 crore, compared with Rs 709.83 crore in the corresponding quarter of the previous financial year.
The company’s total income also registered a healthy growth of 24.6%, rising to Rs 4,051.39 crore in Q2 FY27 against Rs 3,251.02 crore in Q2 FY26.
Revenue from operations increased 25.5% to Rs 4,040.42 crore from Rs 3,219.03 crore in the year-ago quarter. Interest income stood at Rs 4,023 crore, compared with Rs 3,197 crore in the corresponding period last year.
HUDCO’s profit before tax (PBT) increased 17.6% to Rs 1,122.46 crore against Rs 954.71 crore in Q2 FY26.
However, finance costs also increased to Rs 2,857 crore from Rs 2,147 crore during the corresponding quarter last year.
HUDCO Declares Rs 1.35 Interim Dividend
Alongside announcing its quarterly results, the HUDCO Board approved a second interim dividend of Rs 1.35 per equity share for FY 2026-27. The dividend represents 13.5% of the face value of Rs 10 per share.
The company has fixed November 11, 2026, as the record date for determining shareholders eligible to receive the dividend. Payment will be completed within 30 days of the declaration.
Loan Recovery and Asset Quality
During the first half of FY27, HUDCO resolved 10 non-performing project loan accounts through various measures. The company also reported no fresh slippages into the NPA category in its project loan portfolio during the six months ended September 30, 2026.
The provision for expected credit losses on loans declined to Rs 1,278.95 crore as of September 30, 2026, compared with Rs 1,680.17 crore a year earlier.
However, the auditors highlighted an outstanding recoverable amount of Rs 743.16 crore relating to the Andrews Ganj Project account. HUDCO recognised Rs 7.80 crore as interest income on this account during the September quarter and stated that discussions were underway with the Ministry of Housing and Urban Affairs for recovery or reimbursement of the outstanding amount, including interest.
The auditors also highlighted non-compliance with the regulatory requirement concerning the minimum number of independent directors on HUDCO’s Board during the April-September 2026 period. Consequently, certain Board committees did not meet the applicable regulatory composition requirements.
The Q2 FY27 results reflect strong growth in HUDCO’s profitability and income, alongside continued efforts to resolve stressed loan accounts and strengthen its financial position.
