HDFC Bank Q1 results highlights: Four major takeaways from the earnings

HDFC Bank, the country's largest private sector bank, on July 17 reported a net profit of Rs 11,951 crores, jumping from Rs 9,196 crores in the corresponding quarter last year.

The bank also reported a 19.2 percent growth in total deposits which stood at Rs 19.13 lakh crores.

Here are the key highlights from the lender's earnings.

Jump in net profit

Beating market expectations, for the April-June FY24 quarter, HDFC Bank reported a net profit of Rs 11,951 crore, a jump from Rs 9,196 crore in the quarter ended June 30, 2022. As per the average of a poll estimate of four brokerages, the bank was likely to report a net profit of Rs 11,584 crore.

The bank's April-June FY24 quarter's net income stood at Rs 57,816 crores, compared to Rs 41,560 crores last year.

Also read: HDFC Bank Q1 Results: Net profit jumps to Rs 11,951 cr, maintains healthy asset quality

Asset quality remains stable 

The country's largest bank reported a gross non-performing assets (GNPA) ratio of 1.17 percent, improving from 1.28 percent in the corresponding period last year.

Whereas the bank's net NPA (NNPA) stood at 0.30 percent, improving from 0.35 percent.

Strong deposit and advances growth

The lender's total deposits stood at Rs 19.13 lakh crores, jumping by 19.2 percent on a year-on-year basis. Current account and savings account (CASA) grew by 10.7 percent. Total current account deposits stood at Rs 2.52 lakh crores and savings account deposits stood at Rs 5.6 lakh crores.

Whereas time deposits of the bank stood at Rs 11 lakh crores, improving by 26.4 percent.

On the other hand, the bank's advances grew by 15.8 percent on a year-on-year basis and stood at Rs 16.15 lakh crores. Domestic retail loans grew by 20 percent, commercial and rural banking loans grew by 29.1 percent and corporate and other wholesale loans grew by 11.2 percent.

Robust growth across segments

For the April-June FY24 quarter, the treasury business of the bank reported a revenue of Rs 10,537 crores, jumping from Rs 7,379 crores in the corresponding quarter last year.

Whereas retail banking, which includes the bank's major revenue, stood at Rs 42,939 crores compared to Rs 31,685 crores last year.

The wholesale banking revenue of the bank stood at Rs 28,332 crores, jumping from Rs 18,642 crores from last year.