HUDCO's loan disbursement up 22 per cent in FY'14 to Rs 7,400 crore

NEW DELHI: State-owned Housing and Urban Development Corporation ( HUDCO) Ltd's loan disbursement for housing and urban infrastructure projects rose 22 per cent to Rs 7,438 crore during the last fiscal.

HUDCO, a mini-ratna firm, is an institution engaged in financing and promotion of housing and urban infrastructure projects throughout the country.

The company had disbursed loans worth about Rs 6,100 crore in FY'13.

HUDCO's loan sanctions during 2013-14 stood at Rs 17,491 crore against Rs 23,974 crore in the previous year, sources said.

In a memorandum of understanding with Ministry of Housing and Urban Poverty Alleviation, HUDCO has kept the loan sanction and disbursement targets for the 2014-15 fiscal at Rs 16,100 crore and Rs 7,300 crore, respectively, they added.

HUDCO's net profit increased marginally to Rs 719.69 crore in 2013-14 from Rs 700.56 crore in the previous year.

Net sales also witnessed a modest rise to Rs 2,944.98 crore during last fiscal from Rs 2,864.55 crore in the previous year.

HUDCO had raised a total of Rs 4,993 crore through tax-free bonds during last fiscal, out of Rs 5,000 crore allowed by the Finance Ministry.

About Rs 191 crore were raised through private placement of bonds and the remaining in three tranches of public issue of tax-free bonds.

The company utilised the funds to finance the government's housing and urban infrastructure projects, working capital requirements, augmenting the company's resource base and other operational requirements.