Mumbai, Aug 1 || After the PNB Housing Finance board approved resignation of its MD and CEO Girish Kousgi, the company's shares fell by 16 per cent during the intra-day trade on Friday.
The shares touched the lower band at Rs 838.3 per share on BSE and got locked in the lower circuit. At 9.28 am, PNB Housing shares were trading 10 per cent lower at Rs 887.6 per share.
In the earnings call after the June quarter results, Kousgi said PNB Housing Finance was confident in achieving a higher NIM guidance of 3.7 per cent in ongoing fiscal, up from 3.6–3.65 per cent, with affordable and emerging segments adding to margins.
Already, in Q1 FY26, PNB Housing Finance had a 23 per cent year-on-year growth in net profit to Rs 534 crore. Strong loan expansion, a 3.74 per cent net interest margin (NIM), and improved asset quality drove this growth.
Many brokerages gave this credit to the CEO and had already noted that his resignation will act as headwind for the shares. The board said it will "immediately" commence a search for a "seasoned professional with proven expertise and industry experience".
Chairman of the Nomination and Remuneration Committee of PNB Housing Finance, R Chandrasekaran said, "The Board will initiate a rigorous, transparent and merit-based selection process to appoint a new leader who will further enhance the legacy of PNB Housing Finance.