New Delhi
08-09-09

HUDCO improves operational performance

HUDCO has registered its highest level of profit after tax ever, in the year 2008-09.  The gross income of the Company increased to Rs.2713.18 crore during the year as against Rs.2610.19 crore in the 2007-08. The profit before tax amounted to Rs.656.50 crore as against Rs.558.10 crore in the previous year representing an increase of 17.63%.  The profit after tax has been Rs.400.99 crore in 2008-09 against Rs.373.73 crore in the previous year.  This is the highest level of profit after tax, recorded by HUDCO ever.  A dividend of Rs.45.24 crore has been declared by the HUDCO Board for the year ended March 2009.

During the year 2008-09, there has been reduction in Gross NPAs and Net NPAs by 10.56% and 13.53% respectively, inspite of the upsurge in the NPA levels of some of the banks and financial institutions because of economic slowdown.

Registering an improved all round performance, HUDCO’s National  long – term rating has received an upgrade to ‘AA+ (ind)’ from the earlier ‘AA (ind)’ from M/s Fitch Ratings India Pvt. Ltd.  In addition, M/s CARE Ratings have upgraded the rating of unsecured long term Bonds Programme of HUDCO from ‘CARE AA’ to ‘CARE AA+’.  Further, M/s Brickwork Ratings India Pvt. Ltd. has awarded the rating of ‘BWR AAA’ to HUDCO’s long term Non-Convertible Debentures/Bonds.  This is the highest ever rating assigned to HUDCO since inception on stand-alone basis.

During the year 2008-09, HUDCO sanctioned a total amount of Rs.1732.74 crore and released Rs.841 crore for the housing sector.  HUDCO continued its special emphasis on supporting weaker sections of the society, with about 91% of the total housing units sanctioned covering the economically weaker sections and low income groups.  In the field of infrastructure development, HUDCO sanctioned a total loan assistance of Rs.13021.41 crore for 103 schemes which covered critical components that improve the quality of life of the citizens at large, such as water supply, sewerage, drainage, solid waste management, social infrastructure, commercial infrastructure, transport, health and energy.

HUDCO has also played a major role in the implementation of the Jawaharlal Nehru National Urban Renewal Mission (JNNURM).  Being one of the appraising agencies for the projects received under the Basic Services to the Urban Poor (BSUP) component and being the only appraising agency for the Integrated Housing & Slum Development Programme (IHSDP) component of the JNNURM, HUDCO so far appraised 293 projects under BSUP with a project cost of Rs.16761.59 crore and 803 projects under IHSDP with a project cost of Rs.8039.78 crore, which have been sanctioned by the Ministry of Housing & Urban Poverty Alleviation.  HUDCO’s contribution in this regard could be gauged from the fact that 74% of the total project cost of Rs.33,652.26 crore sanctioned across the country by the Ministry of Housing & Urban Poverty Alleviation, under the BSUP and IHSDP components of JNNURM, has been appraised by HUDCO. 

HUDCO has also registered highest level of fee based income, in the year 2008-09, which is about 31% of HUDCO’s staff cost.