The Unaudited Financial Results of LIC Housing Finance Ltd. (LICHFL) for the third quarter ended 31-12-2002 has been approved by the Board and was released by Shri S.B. Mathur, Chairman.

Income :

The Company's Total Income during the nine months ended 31th December 2002 was Rs.696.37 crores as against Rs.630.13 crores of the corresponding period of the last year. This shows a growth of 10.51%.

Profit :

As on 31-12-2002, the Company has shown 14.19 % growth in the Profit before Tax, which increased to Rs.134.77 crores from Rs.118.02 crores of the corresponding period of last year. After providing Rs.33.50 crores for Tax, the Net Profit is Rs.104.16 crores as against Rs.89.98 crores in the previous corresponding period, representing a growth of 15.76%.

Lending Operations :

During the nine months ended 31.12.02, the Loans Sanctioned were to the extent of Rs. 2,491.81 crores showing a growth of 62.34%. Disbursement rose to Rs.2,197.86 crores registering a growth of 55.84 %. Since inception, the Cumulative Sanctions upto December, 2002 stood at Rs.13,761.89 crores and Disbursements at Rs. 12,186.93 crores.

The Outstanding Mortgage Portfolio as on 31-12-2002 is Rs.7,297.24 crores as against Rs.5,897.69 crores of the corresponding period of last year, registering a growth of 23.73%.

Outlook For 2002-2003

The loan disbursals of the Company are likely to cross Rs. 3000 crores and the outstanding mortgage portfolio should be around Rs. 8,000 Crores at the close of the Financial Year. The Company has been able to substantially reduce its Interest Cost on the existing liabilities and for the first time has gone to the international market for external commercial borrowings at very competitive rates.

With the new initiatives taken by the Company to restructure its liabilities and reduce interest costs, the company is hopeful of maintaining its spreads and growth in profit.

Mumbai
21st January , 2003