LIC Housing Finance Q2 profit up 2% to ₹1,354 crore; NPAs decline to 2.51%

LIC Housing Finance on Wednesday reported a marginal improvement of 2 per cent in net profit in the September quarter. ₹1,354 crore alone.

The company is backed by life insurance giant LIC. ₹1,329 crore in the same period of the previous year.

The total income of the mortgage institution increased ₹7,170 crore during the quarter ₹6,932 crore in the same period last year, LIC Housing Finance said in a regulatory filing.

Interest income increased this quarter ₹compared to 7,034 crore ₹6,853 crore in the same quarter last year.

Total expenses increased during the quarter ₹5,465 crore ₹5,267 crore in the same period of the previous financial year.

In terms of asset quality, the company managed to reduce gross non-performing assets (NPAs) to 2.51 percent of gross loans as of end-September 2025, from 3.05 percent a year ago.

Similarly, net NPAs or bad loans also decreased to 1.19 percent from 1.57 percent at the end of the second quarter of the previous fiscal.

The main activity of the company is to provide loans for the purchase or construction of housing.

The company’s liquidity coverage ratio decreased from 197.18 percent to 185.86 percent at the end of September 2024.

On a consolidated basis, the company reported a 1.5 percent increase in net profit. ₹1,349 crore compared to ₹1,328 crore in the second quarter of 2025.