Shares of Housing & Urban Development Corporation Ltd (HUDCO) slipped over 4.5% during Wednesday’s afternoon trading session following the release of its Q4 earnings and final dividend declaration. The stock dropped to Rs 208 on the BSE, down from the previous close of Rs 217.90. During the session, 7.05 lakh shares were traded, registering a turnover of Rs 15.13 crore, bringing HUDCO’s market capitalization down to Rs 43,150 crore.
Despite the short-term dip, HUDCO has seen remarkable long-term growth. The stock has surged 291.78% over the past two years and has delivered an astonishing 537% return year-to-date.
In terms of financial performance, HUDCO posted a marginal increase in net profit, reporting Rs 727.25 crore in the March 2025 quarter, compared to Rs 700.16 crore in the same quarter last year. However, revenues jumped 38% year-on-year to Rs 2,845 crore, up from Rs 2,065.22 crore. On the downside, expenses rose 8.16% to Rs 1,834.65 crore, compared to Rs 1,250.92 crore in the previous year’s corresponding quarter.
The Board of Directors recommended a final dividend of Rs 1.05 per share (10.50% on the face value of Rs 10), subject to shareholder approval in the upcoming Annual General Meeting (AGM). This comes in addition to the previously declared interim dividends—Rs 2.05 and Rs 1.05 per share, respectively. The final dividend, once approved, will be distributed within 30 days of the AGM.
In a related development, HUDCO announced that its board has approved raising Rs 2,190 crore through the issuance of debentures. The offering includes a base size of Rs 500 crore with a green shoe option of Rs 1,690 crore. These redeemable bonds, carrying a coupon rate of 6.90%, will mature at par after five years, with annual interest payments scheduled on May 8, 2026, May 8, 2027, May 6, 2028, May 6, 2029, and May 6, 2030.
HUDCO, a key player in India’s urban development ecosystem, provides long-term financing for residential construction and supports various housing and infrastructure projects across the country.
