Credit rating agency ICRA has upgraded rating of Indiabulls Housing Finance’s Rs 200 crore non-convertible debenture (NCD) programme to ‘AAA’ from ‘AA+’. The outlook on the rating is ‘Stable’. The rating agency has also assigned the rating of ‘AAA (stable)’ to Rs 50,000 crore NCD programme and Rs 50,000 crore Long Term Bank Facilities of the company. Moreover, the rating agency has reaffirmed the rating on the company’s Rs 15,000 crore commercial paper programme at ‘A1+’.
The upgrade in the long-term rating factors in the company’s increasing retail portfolio, driven by the consistent performance of the housing finance segment of the company, consequent improvement in the granularity of the overall book, and stable asset quality indicators.
Indiabulls Housing Finance is the second largest private housing finance company in India, regulated by the National Housing Bank (NHB). The company reported 23.79% rise in its net profit at Rs 753.10 crore for the quarter under review as compared to Rs 608.35 crore for the same quarter in the previous year.