LICHSGFIN

Fundamental Analysis

, the largest housing finance company in India, is registered with the NHB and primarily provides loans for home purchases/construction, project finance, LAP, LRD, and commercial property purchases. As of FY24, it has a loan portfolio of approximately ₹2.87 lakh crore, with 85% in individual home loans. Backed by LIC, which holds a 45.24% stake, the company benefits from strong financial and operational support. Its GNPA and NNPA stood at 3.55% and 1.9% respectively, with a NIM of 3% and capital adequacy at 19.7%. LIC HFL has a pan-India presence with 310 marketing offices, servicing over 35 lakh customers—88% of whom are salaried—with an average ticket size of ₹12 lakh. Borrowings are primarily through NCDs (52%) and banks (34%), with a weighted average borrowing cost of 7.76%. The company has significantly ramped up its digital capabilities under Project RED, with 35%+ disbursements through its HOMY app in FY24. For FY25, it plans to focus on recovery and asset quality improvement, including exploring ARC routes for stressed assets.