1. Opening Hook
PNB Housing just dropped its Q3 FY26 numbers, and unlike most housing finance calls, this one didn’t come with the usual “temporary headwinds” playlist. While the street was busy arguing about repo cuts and election-year liquidity, PNB Housing Finance Limited quietly kept NPAs on a leash and profits marching ahead.
GNPA barely moved, credit costs went negative, and recoveries from written-off loans showed up like surprise cashback. Management sounded calm—almost suspiciously calm—for a lender growing retail assets at mid-teens. Affordable slowed, Emerging Markets flexed, and Prime stayed… well, prime.
This wasn’t a fireworks call. It was more like a disciplined gym session—no drama, just consistent reps. Stick around, because the interesting part isn’t growth. It’s how boringly stable everything looks.
2. At a Glance
- Retail AUM up 16% YoY – Growth without chest-thumping, just steady EMI discipline.
- GNPA at 1.04% – Flat, stable, and clearly not in a mood to misbehave.
- NNPA at 0.68% – So low it’s basically whispering.
- ROA at 2.40% (Q3) – Still elite, even after margin compression.
- NIM at 3.63% – Margins dipped, but didn’t fall off a cliff.
- Net profit up 8% YoY – Slow clap, not a bhangra.
- Credit cost negative –
- Recoveries doing more work than provisioning.
3. Management’s Key Commentary
“Retail loan asset grew 16% YoY to INR 81,931 crore.”
(Translation: Growth engine intact, despite rate-cycle drama.) 😏
“Affordable volumes were flat due to ticket size capping.”
(Translation: We chose discipline over chasing risky growth.)
“Emerging Markets delivered 32 bps higher incremental yield versus Prime.”
(Translation: This is where the margin juice lives.)
“Gross and Net NPAs stood at 1.04% and 0.68% respectively.”
(Translation: Asset quality behaving better than most peers.)
“Recovered INR 49 crore from written-off pool in Q3.”
(Translation: Even dead loans are paying rent now.) 😏
“Corporate GNPA remains nil.”
(Translation: The corporate book is on life support—but stable.)
4. Numbers Decoded
| Metric | Q3 FY26 | YoY Trend | What It Really Says |
|---|---|---|---|
| Retail AUM | ₹81,931 cr | +16% | Growth without loosening underwriting |
| GNPA | 1.04% | Stable | No hidden stress so far |
| NNPA | 0.68% | Improving | Provision buffer doing its job |
| NIM | 3.63% | -7 bps | Rate cycle pain, not mispricing |
| ROA | 2.40% | -12 bps | Still top-tier for HFCs |
| Capital Adequacy | 29.46% | Strong | Over-prepared, if anything |
