Mortgage Lender DHFL Posts Rs.2,123 Crore Net Loss in Q2

Dewan Housing Finance Ltd. (DHFL) that made a profile of Rs.70 crore in the first quarter of 2020, has posted a loss of Rs.2,123 crore in the quarter ending September, 2020. DHFL in Q2 reported a total income of Rs.2,2.5,90 crore compared to Rs.2,581.16 crore in the same period previous year. The company has posted a net loss of Rs.6,640.62 crore in the corresponding quarter in the previous year.

“The company also reported transaction details to Stock Exchanges and NHB through communications dated September 2, 2020, September 28, 2020 and October 6, 2020 for an understanding sum of Rs. 14,04,550 lakh, Rs.12,70,553 and Rs.1,86,484 lakh respectively. The company has made provisions as per NHB guidelines on ‘Provisioning Pertaining to Fraud Accounts,” R Subramaniakumar, Administrator, DHFL, mentioned in the results.

On the other hand, there is no clarity on the bidding process for the lenders in trouble, and hence they are likely to call for another round of bids seeking higher value for its assets. The bidders to DHFL include Adani Group, Piramal Enterprises, Oaktree and SC Lowy who have submitted 10-70 percent higher price for a stake in the company or buying out some of its assets.