PNB Housing Finance Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript PNB Housing Finance Ltd filed with BSE on 25 Apr 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
PNB Housing Finance reported FY26 profit after tax of Rs 2,291 crore, up 18% year-on-year, with the retail loan book growing 16% to Rs 86,946 crore and gross NPA improving to 0.93%. Q4 disbursements grew 36% year-on-year to Rs 9,355 crore, with the Affordable segment rebounding 59% sequentially and a corporate loan book of Rs 401 crore restarted during the quarter. Management issued FY27 guidance for loan book to cross Rs 1 lakh crore, retail loan growth of 18-20%, NIM of 3.55-3.65%, and ROA of 2.4-2.5%.
1 statement from this call is not shown because its supporting quote could not be reproduced within our quoting limits. Nothing shown here is affected: every statement on this page carries its verified quote.
Numbers mentioned
Retail loan book: Rs 86,946 crore (FY26 (as on 31 March 2026))
p. 4
“The retail loan book grew by 16% Y-o-Y to INR 86,946 crores as on 31st March 2026.”
Ajai Kumar Shukla, page 4 of the filed PDF · View the filing
Total loan book: Rs 87,347 crore (as on 31 March 2026)
p. 4
“The total loan book of the company stood at INR 87,347 crores as on 31 March 2026.”
Ajai Kumar Shukla, page 4 of the filed PDF · View the filing
Disbursement: Rs 9,355 crore (Q4 FY26)
p. 4
“The disbursement during Q4 grew by 36% Y-o-Y and 50% Q-o-Q to INR 9,355 crores.”
Ajai Kumar Shukla, page 4 of the filed PDF · View the filing
GNPA: 0.93% (as on 31 March 2026)
p. 5
“Our GNPA continues to improve and is now below 1% mark, standing at 0.93% as of 31 March 2026.”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
Net interest margin: 3.69% (Q4 FY26)
p. 5
“Net interest margin improved by 6 bps Q-o-Q in Q4 FY’26 to 3.69%.”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
Spread: 2.12% (Q4 FY26)
p. 5
“spread reduced by 10 bps Q-o-Q from 2.22% to 2.12% due to lower incremental yield and BT pressure in prime business”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
Profit after tax: Rs 2,291 crore (FY26)
p. 5
“in FY’26, Profit after tax increased by 18% Y-o-Y to INR 2,291 crores leading to an ROA of 2.66% and ROE of 12.73%.”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
Capital adequacy ratio: 27.26% (as on 31 March 2026)
p. 5
“The capital adequacy ratio is 27.26% and Tier 1 is 26.89% as on 31 March 2026.”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
Dividend: Rs 8 per equity share (FY26)
p. 5
“the Board of Directors recommended a dividend of INR 8 per equity share having face value of INR 10/- for FY’26, subject to the shareholder’s approval during next AGM”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
Q4 PAT: Rs 656 crore (Q4 FY26)
p. 7
“The reported PAT for Q4 FY’26 is INR 656 crores marking a 19% year-on-year growth and 26% sequential growth.”
Vinay Gupta, page 7 of the filed PDF · View the filing
Net worth: Rs 19,219 crore (as of March 2026)
p. 7
“As of March, our net worth stood at INR19,219 crores and our book value increased to INR 738 per share.”
Vinay Gupta, page 7 of the filed PDF · View the filing
Operating expenses: Rs 920 crore (FY26)
p. 6
“Operating expenses grew by 13% YoY to INR 920 crores compared to INR 813 crores in FY25.”
Vinay Gupta, page 6 of the filed PDF · View the filing
Recoveries from written-off pool: Rs 332 crore (FY26)
p. 5
“For the full year FY’26, total recoveries from return off pool accounts stood at INR 332 croresresulting in a negative credit cost of 45 bps.”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Total loan book — more than INR 1 lakh crore · FY27
stated firmly by Ajai Kumar Shukla
p. 5
“We are looking for loan book to cross more than INR 1 lakh crores mark in FY’27.”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
Retail loan book growth — 18% to 20% · FY27
stated firmly by Ajai Kumar Shukla
p. 5
“Retail loan book projected to grow between 18% to 20%.”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
Net interest margin — 3.55% to 3.65% · FY27
stated firmly by Ajai Kumar Shukla
p. 5
“NIM would be in the range of 3.55% to 3.65%.”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
ROA — 2.4% to 2.5% · FY27
stated firmly by Ajai Kumar Shukla
p. 6
“ROA would be in the range of 2.4% to 2.5%.”
Ajai Kumar Shukla, page 6 of the filed PDF · View the filing
Affordable segment growth — almost 50% · FY27
stated as an aspiration by Ajai Kumar Shukla
p. 8
“If I talk about segment wise we will grow almost 50% in Affordable segment.”
Ajai Kumar Shukla, page 8 of the filed PDF · View the filing
Affordable plus Emerging composition — 50%/50% · two years
stated as an aspiration by Ajai Kumar Shukla
p. 8
“Two years down the line, we are expecting that we should be having composition of 50%/50%.”
Ajai Kumar Shukla, page 8 of the filed PDF · View the filing
Corporate loan book share — not more than 3% in FY27, 5-6% second year, 8-9% third year · 3 years
stated as an aspiration by Ajai Kumar Shukla
p. 15
“So if I talk about first year, it would be around 3%, second year it would be around 5% to 6% of my overall book.”
Ajai Kumar Shukla, page 15 of the filed PDF · View the filing
Credit cost — negative 15 to 20 bps · FY27
stated firmly by Vinay Gupta
p. 12
“So, we still expect the credit cost to remain negative next year in the range of around 15 to 20 bps.”
Vinay Gupta, page 12 of the filed PDF · View the filing
FY27 recoveries from written-off pool — INR 200 crore to INR 250 crore · FY27
stated firmly by Vinay Gupta
p. 11
“For FY’27 we are expecting around INR 200 crores to INR 250 crores recovery in total.”
Vinay Gupta, page 11 of the filed PDF · View the filing
Opex to ATA — 1% to 1.1%
stated firmly by Vinay Gupta
p. 6
“We expect it to remain range bound between 1% to 1.1%.”
Vinay Gupta, page 6 of the filed PDF · View the filing
Yields — Q1 FY27
stated as an aspiration by Ajai Kumar Shukla
p. 5
“In our view, the yield have bottomed out and should start improving from Q1 FY’27.”
Ajai Kumar Shukla, page 5 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
CFO said borrowing cost had already reduced and further scope exists via rating upgrades and diversified funding while maintaining liquidity buffers.
Answered by Vinay Gupta
Asked by Sucrit D Patil: How is management approaching rising funding costs, regulatory compliance changes and credit defaults while keeping profitability and growth steady?
p. 8
“in Q4, you would have seen that we were able to still reduce our borrowing cost by around 15 bps and it's now stands at around 7.35%.”
Vinay Gupta, page 8 of the filed PDF · View the filing
Management said Affordable would grow around 50% and gave city and yield details for the corporate loan.
Answered by Ajai Kumar Shukla
Asked by Viral Shah: Can management give segment-level growth guidance for Affordable and Emerging, and detail on the corporate disbursement of Rs 335 crore this quarter?
p. 9
“So, our focus would be more on reputed good builders of the cities. We will be targeting almost seven to eight top category cities where the market is good, sell ability is high and the quality of developer is also, good.”
Ajai Kumar Shukla, page 9 of the filed PDF · View the filing
CFO said yields have bottomed and should improve, while cost of borrowing may remain stable or see modest improvement depending on macro conditions.
Answered by Vinay Gupta
Asked by Viral Shah: Is there scope for higher margins than guided given the changing book mix including re-entry into corporate finance?
p. 9
“So going forward, that is where it is going to remain stable or maybe 5 bpsto 10 bps improvement.”
Vinay Gupta, page 9 of the filed PDF · View the filing
Management attributed the pickup to greater field engagement with distribution partners rather than any structural change.
Answered by Ajai Kumar Shukla
Asked by Renish: What specific changes drove the Q4 disbursement pickup, and is it sustainable into FY27?
p. 10
“So overall what happened, it helped us to grow this volume by way of engaging the partners.”
Ajai Kumar Shukla, page 10 of the filed PDF · View the filing
Management said the decline reflected the broader repo rate cut and intense pricing competition, but NIM was maintained through lower cost of funds.
Answered by Ajai Kumar Shukla
Asked by Kunal Shah: Why did Affordable housing yields fall about 75 bps QoQ even as disbursements picked up?
p. 11
“there was intense competition in terms of pricing especially in the last quarter in the market. And that is how you have to deal with that.”
Ajai Kumar Shukla, page 11 of the filed PDF · View the filing
CFO said negative credit cost of 15-20 bps from written-off pool recoveries is factored in, with margin improvement to come from mix shift toward Emerging, Affordable and Corporate over 2-3 years.
Answered by Vinay Gupta
Asked by Avinash Singh: What credit cost assumption underlies the 2.4-2.5% ROA guidance for FY27?
p. 12
“So, we still expect the credit cost to remain negative next year in the range of around 15 to 20 bps. So, this is what is factored in.”
Vinay Gupta, page 12 of the filed PDF · View the filing
Management said it was unrelated to asset quality, noting Affordable delinquency metrics were under control, and attributed past softness to temporary market challenges that have since been corrected.
Answered by Ajai Kumar Shukla
Asked by Gaurav Khandelwal: Was the weak Affordable disbursement growth in FY26 Q4 due to market rates or asset quality?
p. 13
“It is not related or any significant relevance with the quality because quality you see in Affordable is good. We are now below 0.6% in our GNPA.”
Ajai Kumar Shukla, page 13 of the filed PDF · View the filing
Management said bounce rates in April were similar to March with no significant jump, and one identified cause (tax-related shortfall) was resolved the next day.
Answered by Ajai Kumar Shukla
Asked by Gaurav Khandelwal: Are there early signs of bounce rate or asset quality stress in April linked to geopolitical issues?
p. 13
“I think the bounce in April is more or less similar to what it was in March. So there is no significant jump in the bounce this year.”
Ajai Kumar Shukla, page 13 of the filed PDF · View the filing
CFO gave the current percentage.
Answered by Vinay Gupta
Asked by Nidesh: What is the current share of retail home loans under the PBC criteria?
p. 15
“We are at 65% Nidesh.”
Vinay Gupta, page 15 of the filed PDF · View the filing
Risks flagged
Ongoing geopolitical conflicts may impact growth projections across sectors including housing finance
p. 3
“It may also be worth noting that the ongoing geopolitical conflicts may have an impact on growth projections for all sectors including housing finance sector.”
Ajai Kumar Shukla, page 3 of the filed PDF · View the filing
Elevated crude oil prices could keep inflation and interest rates elevated and marginally affect asset quality
p. 3
“The crude oil prices may keep inflation and interest rates elevated and may also marginally impact asset quality.”
Ajai Kumar Shukla, page 3 of the filed PDF · View the filing
Intense pricing competition pressured yields, particularly in Affordable housing
p. 11
“there was intense competition in terms of pricing especially in the last quarter in the market”
Ajai Kumar Shukla, page 11 of the filed PDF · View the filing
Cost of borrowing faces headwinds from current liquidity conditions after most rate-cut benefits have already been realized
p. 9
“On the cost of borrowing front there are certain headwinds right now considering the current liquidity conditions and most of the benefits that we were supposed to get we have realized from the rate cut cycle.”
Vinay Gupta, page 9 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.