VISAKHAPATNAM: LIC Housing Finance Ltd. (LIC HFL) has projected strong growth prospects for Andhra Pradesh, particularly in Visakhapatnam and Vijayawada, citing increasing demand in the housing sector and ongoing infrastructure developments.
“We are very upbeat about the growth trajectory of the State. It is one of the states that will do well in terms of development,” said Tribhuwan Adhikari, Managing Director and CEO of LIC HFL, during an interaction with the press in Visakhapatnam on Monday.
LIC HFL has 303 marketing offices across the country, including 20 Area Offices and 3 Cluster Offices in Andhra Pradesh, with a Deputy Regional Manager’s Office in Vijayawada.
The company holds a 19.46 per cent share in the individual home loan segment in Andhra Pradesh and Telangana. During FY 2025-26, it disbursed Rs 5,634.71 crore in the region, and as of September 2025, its outstanding loan portfolio in both states stood at Rs 63,000 crore.
For Q2 of FY 2025-26, LIC HFL reported a net profit of Rs 1,353.87 crore, up 2% year-on-year. Total disbursements during the quarter were Rs 16,313 crore. Revenue from operations increased 3% to Rs 7,163 crore, while Net Interest Income (NII) rose to Rs 2,038 crore. The company’s loan book grew 6% to Rs 3,11,816 crore, with the individual home loan segment accounting for Rs 2,64,096 crore.
LIC HFL targets Rs 15K-cr biz in AP
Stage 3 assets declined to 2.51% from 3.06% a year earlier, and provision coverage stood at 53%. For the half-year ending September 2025, LIC HFL posted a 3% rise in net profit to Rs 2,713.79 crore and a 5% increase in total income to Rs 14,403 crore.
Adhikari said the company will continue to focus on affordable and mid-income housing, supported by competitive interest rates, builder partnerships and digital loan processing. To strengthen operations in AP, LIC HFL has recently opened a sub-regional office, shifting AP-specific administration away from Hyderabad.
The firm expects to achieve business of Rs 15,000 crore in AP and Telangana this financial year, compared with Rs 13,050 crore last year. Of this, lending in Andhra Pradesh alone is Adhikari said upcoming investments including the proposed USD 15-billion Google AI data centre hub and infrastructure activity in Amaravati are likely to stimulate housing demand in Vizag and Vijayawada, creating further growth opportunities for the company.
LIC HFL said it will continue to expand its presence in Tier-2 and Tier-3 cities while strengthening digital systems to improve customer onboarding and loan servicing projected at about Rs 4,250 crore, up from Rs 3,700 crore the previous year.
