About
PNB Housing Finance Ltd
PNB Housing Finance Limited (PNB Housing) is a registered housing finance company with National Housing Bank (NHB), incorporated under the Companies Act, 1956 and commenced its operations on November 11, 1988. It is promoted by Punjab National Bank (PNB), which holds 32.57% of share capital in the Company. The Company offer retail and corporate loans, including individual home loans, retail loan against property, retail non-resident property loan, construction finance and lease rental discounting among others. It operate the sales and distribution function through the wholly-owned subsidiary, PHFL Home Loans and Services Limited.
The company has a robust network of branches spread across the country which help its customers avail financial services (loans and deposits) seamlessly.
In 2003, PNB Housing Finance was notified under the SARFAESI Act. In 2006, the company crossed the Rs 1000 crore loan portfolio. In 2009, PNB Housing Finance's promoter PNB sold 26% of its stake in the total issued, subscribed and paid-up share capital of the company to Destimoney Enterprises Private Limited (DEPL).
In 2010, PNB Housing Finance launched the business process re-engineering project, 'Kshitij'. In 2012, DEPL increased its shareholding in the company to 49%, pursuant to the conversion of Compulsory Convertible Debentures (CCDs) issued in 2009. During the year, PNB Housing Finance brought down Gross and net NPAs lower than 0.5% of its asset portfolio.
In 2013, PNB Housing Finance crossed Rs 1000 crore in retail deposits. In 2014, the company's profit after tax crossed Rs 100 crore and assets under management crossed Rs 10000 crore. In 2015, the company implemented end-to-end Enterprise System Solution. During the year, DEPL was acquired by Quality Investment Holdings (QIH) of the Carlyle Group. In October 2016, PNB Housing Finance raised Rs 3000 crore from an initial public offer. Its equity shares were listed on National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) with effect from 7 November 2016. In 2016, PNB Housing Finance's assets under management crossed Rs 25000 crore.
In 2017, PNB Housing Finance's assets under management crossed Rs 50000 crore and deposits crossed Rs 10000 crore. During the year, PNB Housing Finance incorporated a subsidiary 'PHFL Home Loans & Services Ltd'.
The Board of Directors of PNB Housing Finance at its meeting held on 3 May 2018 approved to raise funds by way of External Commercial Borrowings for not exceeding USD 1 billion in one or more trenches to augment its medium-term resources subject to all regulatory approvals. On 10 July 2018, PNB Housing Finance informed the stock exchanges that it has received a joint communication from its promoter Punjab National Bank (PNB) and its second largest shareholder viz. Quality Investment Holdings (The Carlyle Group) regarding the initiation of the process for the sale of minimum 51% stake in PNB Housing Finance Limited to the potential acquirers.
During the financial year 2019, Rs. 30,858 crores was borrowed through bank term loans, National Housing Bank refinance, external commercial borrowings and public deposits. The National Housing Bank sanctioned Rs. 3,500 crores in the third quarter of fiscal 2018-19, which was fully drawn down during the fourth quarter.
The total Assets Under Management (AUM) as at March 31, 2019 were Rs. 84,722 crores. During FY 2018-19, the Company has opened 18 new branches, out of which 4 branches were opened in the existing locations and 14 branches were opened at new locations. As on March 31, 2019, the Company has presence through 102 branches, 29 outreach locations, totalling to 131 distribution outlets. During the year 209, the Company has sourced loans worth Rs. 16,494 crores for PNB Housing.
During the year 2020, the Company had opened 2 new branches. As on March 31, 2020, the Company has presence through 105 branches, 28 outreach locations, totalling to 133 distribution outlets. The assets under management (AUM) as at March 31, 2020 were Rs. 83,346 crores. During the year 200, the Company has sourced loans worth Rs. 11,326 crores for PNB Housing. It became the first HFC to sign a funding of US$75 million via External Commercial Borrowings (ECBs) from Japan International Corporation Agency (JICA).
The Assets Under Management (AUM) as at March 31, 2021 were Rs. 74,469 crores. As on March 31, 2021, the Company has presence through 94 branches, 17 outreach locations, totalling to 111 distribution outlets. The Company also has 22 underwriting hubs for credit decision making.
During the year 2022, the Company opened 24 new branches/ outreaches, majority in tier II and tier III cities to expand
Unnati operations. As on March 31 2022, the Company has presence through 99 branches, 38 outreach locations, totaling to 137 distribution outlets. The Company also has 22 underwriting hubs for credit decision making. During the year, it started 24 new locations dedicated to Unnati. With emphasis on Unnati, the Company opened 3 more branches and 2 outreach centres in April 2022 resulting in a total of 29 dedicated Unnati locations by the end of April 2022.
The Assets Under Management (AUM) as at March 31, 2022 were Rs. 65,977 crore. During the year, the Company has sourced 74% of loan applications resulting into 71% of total loans disbursed by PNB Housing.
During the year 2023, the Company expanded its branch network to 189 branches/outreaches an increase from 137 branches/ outreaches as on March 31, 2022. The affordable loan segment presence was expanded to 82 branches/outreaches in more than 150 districts.
PNB Housing Finance Ltd
Chairman Speech
PREPARED FOR THE NEW NORMAL
Dear Shareholders,
It gives me immense pleasure to write to you as the Chairman of your Company, and
present the 33rd Annual Report and consolidated financial statements of PNB Housing
Finance Limited (PNB Housing) for the financial year ended March 31, 2021.
The COVID-19 led pandemic, which unfolded during the last quarter of FY 2019-20, had
unprecedented impact on the human life as well as economies across the globe. The complete
lockdown witnessed during the first quarter had a deep impact on the economy and led to
steep fall in the domestic output. A series of measures taken following the unlock phase
helped the economy recover in the second half of the year. However, the pace of recovery
was impacted again by the second wave which resulted in localized restrictions in movement
and economic activities.
The healthcare and the frontline workers have been the pillars of support during these
challenging times, and we are forever grateful to them for their unconditional services.
At PNB Housing, we supported the government's initiatives to help individuals and
businesses by implementing measures like moratorium, Partial Credit Guarantee Scheme 2.0,
Emergency Credit Line Guarantee Scheme; and also participating in Special Refinance
Facility, Targeted Long-Term Repo Operations, deferment of interest on working capital
facilities, among others.
The RBI took decisive steps to ease the monetary policy to help the economy recover
from this unprecedented shock. There have been subsequent cuts in repo rates to support
liquidity. The RBI pushed more than Rs 2.7 lakh crores through Open Market Operation (OMO)
purchases between February 6 and December 04, 2020. Targeted long-term repo operations
(TLTROs) of up to three years' tenure of a total amount of Rs 1.13 lakh crores for
investment in corporate bonds, commercial papers (CP), and non-convertible debentures
(NCDs), in addition to injection of Rs 1.25 lakh crores through Long-Term Repo Operations
(LTROs) were conducted in February-March 2020.
GROWING OPPORTUNITIES FOR THE HOUSING FINANCE COMPANIES
While housing demand was deeply impacted during the first half of FY 2020-21, the
situation improved in the second half owing to the pent-up demand, falling interest rates
and the extension of the credit subvention scheme for the affordable housing segment.
Post-pandemic, there has been an incremental need for owning home rather than renting out.
The cumulative growth in on-book portfolio of HFCs for 9M FY 2021 (December 2020 vs.
March 2020) stood at 2%. However, the second half of the year witnessed recovery in demand
leading to a gradual increase in disbursements, nearing the pre-covid levels. The total
housing credit increased from Rs 21.1 lakh crores as on March 31, 2020 to Rs 22.1 lakh
crores as on December 31, 2020. The disbursements started picking up from Q2 FY 2021
onwards and the overall on-book housing loan portfolio of NBFCs/HFCs and banks is
estimated to have reached Rs 22.1 trillion as on December 31, 2020. Supported by portfolio
buyout, banks continued to outpace the disbursement growth. The overall HFC credit in
India is estimated at Rs 11.3 lakh crores as on December 31, 2020, with exposures across
home loans (HL), loan against property (LAP), construction finance (CF), and lease rental
discounting (LRD).
Driven by robust demand and liquidity support from its bankers, depositors, debenture
holders and the National Housing Bank, the portfolio growth in the affordable segment
remained higher at 8% in 9M FY 2021, following the growth of 18% in FY 2019-20. With
unwavering demand, the segment is expected to continue growing at a faster pace than the
overall industry.
The second wave has slowed down the recovery for the overall economy including the real
estate sector. However, with accelerated vaccination program to inoculate the population
is driving the hope for a faster turnaround with major global rating agencies and experts
anticipating a double-digit growth for the economy.
EVOLVING WITH DYNAMIC ENVIRONMENT
While we remained cautious during the year under review in terms of new business, we
utilized this time to chalk out a new strategic roadmap which help bolster our position in
the industry in the coming years. We have accelerated our digital journey and embarked on
contactless customer onboarding and disbursal, one of the firsts in our sector to do so.
We have sharpened our focus around the affordable housing segment and created a dedicated
product and infrastructure to help strengthen our presence. We are leveraging the power of
digital and analytical tools to strengthen our processes including recovery and risk
management and to create a much stronger institution going forward. We will continue to
service our customers and help fulfilling the dreams and aspirations of owning a house for
millions of Indians.
REMAINING STEADFAST
Even with the contraction in the economy in the same fiscal year, your company has
focussed on retail business, portfolio quality, recorded a decent income which translated
into 44% year-on-year growth in Profit after Tax. This became possible due to the efforts
of all the stakeholders and efforts of employees of the Company, who have worked
throughout the year in COVID cyclone.
Distribution Strategy, Technology, Customer Centricity & Corporate Social
Responsibility are your company's key strengths. The company has pivoted its distribution
strategy around an array of products that helps to drive sustainable growth in business.
The hallmark of our product bouquet is Innovation, Affordability and Flexibility. With the
changing paradigm in the housing sector, our strength lies in our efficiency to underwrite
all categories of customers and nurture strong relationships with our business partners
and stakeholders.
With our retail focus and especially on Affordable Housing Segment, we remain steadfast
in supporting PM's Mission of ‘Housing for All'. The current scenario highlights the
urgent need to accelerate a sustainable business environment and PNB Housing Finance is
committed and prepared to lead the change and build a healthy and progressive housing
finance company.
CONCLUDING NOTE
I take this opportunity to thank our fellow Board Members for their unflinching
support, the leadership team and strong team of employees for their efforts to steer
through the challenges and create a stronger PNB Housing Finance for tomorrow. I also wish
to thank the Reserve Bank of India, the National Housing Bank, the Securities and Exchange
Board of India and the Stock Exchanges for their continued support.
I am also thankful to the shareholders for their overwhelming support during thick and
thin. I expect that we are building a stronger PNB Housing Finance which will add
significant value in the coming years.
Warm regards
CH. S. S. Mallikarjuna Rao
Chairman
  Â
PNB Housing Finance Ltd
Company History
PNB Housing Finance Limited (PNB Housing) is a registered housing finance company with National Housing Bank (NHB), incorporated under the Companies Act, 1956 and commenced its operations on November 11, 1988. It is promoted by Punjab National Bank (PNB), which holds 32.57% of share capital in the Company. The Company offer retail and corporate loans, including individual home loans, retail loan against property, retail non-resident property loan, construction finance and lease rental discounting among others. It operate the sales and distribution function through the wholly-owned subsidiary, PHFL Home Loans and Services Limited.
The company has a robust network of branches spread across the country which help its customers avail financial services (loans and deposits) seamlessly.
In 2003, PNB Housing Finance was notified under the SARFAESI Act. In 2006, the company crossed the Rs 1000 crore loan portfolio. In 2009, PNB Housing Finance's promoter PNB sold 26% of its stake in the total issued, subscribed and paid-up share capital of the company to Destimoney Enterprises Private Limited (DEPL).
In 2010, PNB Housing Finance launched the business process re-engineering project, 'Kshitij'. In 2012, DEPL increased its shareholding in the company to 49%, pursuant to the conversion of Compulsory Convertible Debentures (CCDs) issued in 2009. During the year, PNB Housing Finance brought down Gross and net NPAs lower than 0.5% of its asset portfolio.
In 2013, PNB Housing Finance crossed Rs 1000 crore in retail deposits. In 2014, the company's profit after tax crossed Rs 100 crore and assets under management crossed Rs 10000 crore. In 2015, the company implemented end-to-end Enterprise System Solution. During the year, DEPL was acquired by Quality Investment Holdings (QIH) of the Carlyle Group. In October 2016, PNB Housing Finance raised Rs 3000 crore from an initial public offer. Its equity shares were listed on National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) with effect from 7 November 2016. In 2016, PNB Housing Finance's assets under management crossed Rs 25000 crore.
In 2017, PNB Housing Finance's assets under management crossed Rs 50000 crore and deposits crossed Rs 10000 crore. During the year, PNB Housing Finance incorporated a subsidiary 'PHFL Home Loans & Services Ltd'.
The Board of Directors of PNB Housing Finance at its meeting held on 3 May 2018 approved to raise funds by way of External Commercial Borrowings for not exceeding USD 1 billion in one or more trenches to augment its medium-term resources subject to all regulatory approvals. On 10 July 2018, PNB Housing Finance informed the stock exchanges that it has received a joint communication from its promoter Punjab National Bank (PNB) and its second largest shareholder viz. Quality Investment Holdings (The Carlyle Group) regarding the initiation of the process for the sale of minimum 51% stake in PNB Housing Finance Limited to the potential acquirers.
During the financial year 2019, Rs. 30,858 crores was borrowed through bank term loans, National Housing Bank refinance, external commercial borrowings and public deposits. The National Housing Bank sanctioned Rs. 3,500 crores in the third quarter of fiscal 2018-19, which was fully drawn down during the fourth quarter.
The total Assets Under Management (AUM) as at March 31, 2019 were Rs. 84,722 crores. During FY 2018-19, the Company has opened 18 new branches, out of which 4 branches were opened in the existing locations and 14 branches were opened at new locations. As on March 31, 2019, the Company has presence through 102 branches, 29 outreach locations, totalling to 131 distribution outlets. During the year 209, the Company has sourced loans worth Rs. 16,494 crores for PNB Housing.
During the year 2020, the Company had opened 2 new branches. As on March 31, 2020, the Company has presence through 105 branches, 28 outreach locations, totalling to 133 distribution outlets. The assets under management (AUM) as at March 31, 2020 were Rs. 83,346 crores. During the year 200, the Company has sourced loans worth Rs. 11,326 crores for PNB Housing. It became the first HFC to sign a funding of US$75 million via External Commercial Borrowings (ECBs) from Japan International Corporation Agency (JICA).
The Assets Under Management (AUM) as at March 31, 2021 were Rs. 74,469 crores. As on March 31, 2021, the Company has presence through 94 branches, 17 outreach locations, totalling to 111 distribution outlets. The Company also has 22 underwriting hubs for credit decision making.
During the year 2022, the Company opened 24 new branches/ outreaches, majority in tier II and tier III cities to expand
Unnati operations. As on March 31 2022, the Company has presence through 99 branches, 38 outreach locations, totaling to 137 distribution outlets. The Company also has 22 underwriting hubs for credit decision making. During the year, it started 24 new locations dedicated to Unnati. With emphasis on Unnati, the Company opened 3 more branches and 2 outreach centres in April 2022 resulting in a total of 29 dedicated Unnati locations by the end of April 2022.
The Assets Under Management (AUM) as at March 31, 2022 were Rs. 65,977 crore. During the year, the Company has sourced 74% of loan applications resulting into 71% of total loans disbursed by PNB Housing.
During the year 2023, the Company expanded its branch network to 189 branches/outreaches an increase from 137 branches/ outreaches as on March 31, 2022. The affordable loan segment presence was expanded to 82 branches/outreaches in more than 150 districts.
PNB Housing Finance Ltd
Directors Reports
PNB Housing Finance Ltd
Company Background
| Incorporation Year | 1988 |
| Registered Office | 9th Floor Antrish Bhawan,22 Kasthurba Gandhi Marg
New Delhi,New Delhi-110001 |
| Telephone | 91-11-23445200,Managing Director |
| Fax | 91-11-23736857 |
Girish Kousgi| Company Secretary | Sanjay Jain |
| Auditor | T R Chadha & Co LLP |
| Face Value | 10 |
| Market Lot | 1 |
| Listing | BSE,NSE, |
| Registrar | Link Intime India Pvt Ltd
C-101 247 Park,L B S Marg,Vikhroli West,Mumbai-400083 |
PNB Housing Finance Ltd
Company Management
| Director Name | Director Designation | Year |
|---|
| Sunil Kaul | Non-Exec & Non-Independent Dir | 2023 |
| Chandrasekaran Ramakrishnan | Non-Exec. & Independent Dir. | 2023 |
| Nilesh S Vikamsey | Non-Exec. & Independent Dir. | 2023 |
| Sanjay Jain | Company Sec. & Compli. Officer | 2023 |
| Tejendra Mohan Bhasin | Non-Exec. & Independent Dir. | 2023 |
| Sudarshan Sen | Non-Exec. & Independent Dir. | 2023 |
| Neeraj Vyas | Non-Exec & Non-Independent Dir | 2023 |
| Kapil Modi | Non-Exec & Non-Independent Dir | 2023 |
| Gita Nayyar | Independent Director | 2023 |
| Atul Kumar Goel | Director | 2023 |
| PAVAN PAL KAUSHAL | Independent Director | 2023 |
| Girish Kousgi | Managing Director & CEO | 2023 |
| Dilip Kumar Jain | Nominee | 2023 |
PNB Housing Finance Ltd
Listing Information
| Listing Information |
|---|
| BSE_500 |
| CNX500 |
| BSESMALLCA |
| CNXSMALLCA |
| BSEALLCAP |
| BSEFINANCE |
| SML250 |
| MSL400 |
| NFTYMSC400 |
| NFTYSC50 |
| NFTYSC250 |
| NF500M5025 |
| NFTYTOTMKT |
PNB Housing Finance Ltd
Finished Product
| Product Name | Unit | Installed
Capacity | Production
Quantity | Sales
Quantity | Sales
Value |
|---|
| Interest Income | NA | 0 | 0 | 0 | 6172.91 |
| Fee & Other Charges | NA | 0 | 0 | 0 | 273.03 |
| Net Gain on Fair Value Changes | NA | 0 | 0 | 0 | 33.71 |
| Income on Derecognised Loans | NA | 0 | 0 | 0 | 10.9 |
| Mutual Funds | NA | 0 | 0 | 0 | 0 |
| Profit on Sale of Investments | NA | 0 | 0 | 0 | 0 |
| Other Operating Income | NA | 0 | 0 | 0 | 0 |
| Profit on Sale of Asset | NA | 0 | 0 | 0 | 0 |
| Dividend | NA | 0 | 0 | 0 | 0 |