The country's largest housing finance company, Housing Development Finance Corporation (HDFC) recorded growth in net profit of 18.5 per cent at Rs 1, 151 crore in the second quarter of this fiscal as compared to Rs 970.70 crore of the corresponding quarter of 2011. And this was possible because of the retail home loan borrowings.

HDFC's loan book increased 20 per cent at Rs 1, 55,128 crore for the half year which ended on September 30 against Rs 1, 26,992 crore last year.

Keki Mistry, Vice-Chairman and CEO of HDFC said, "About 78 per cent of the increase in loan book in the April-September period was because of the rest came from non-individual loans".

Mr. Mistry also said that HDFC's asset quality also has improved for the 31st successive quarter. The Total Income of the quarter increased 27 per cent to Rs 5269.45 crore as compared to Rs 4163.93 crore. Non-performing loans stood at 0.77% for the quarter as compared to 0.83% a year ago.

Mistry added, "The Company continues to maintain its target".