HDFC Bank Q2 results: Net profit rises 5% to Rs 16,820 crore, beats Street estimates

HDFC Bank

HDFC Bank's Q2 FY25 net profit rose 5 percent on-year to Rs 16,821 crore, beating Street expectations. An average of seven brokerages' estimates had pegged HDFC Bank's fiscal second quarter net profit at Rs 16,570 crore.

India's largest private sector bank's net interest income (NII) rose 10 percent on-year to Rs 30,114 crore. The brokerage poll had pegged Q2 NII at Rs 30,306 crore. Core net interest margin was at 3.46 percent on total assets, and 3.65 percent based on interest earning assets, HDFC Bank said in a stock exchange filing.

Other income (non-interest revenue) for the quarter ended September 30, 2024, was Rs 11,480 crore, as compared to Rs 10,710 crore in a year ago period.

The lender’s gross non-performing assets (GNPA) stood at 1.36 percent at the end of September, marginally higher than 1.33 percent at the end of the preceding quarter. HDFC Bank's net NPAs stood at 0.41 percent, increasing from 0.39 percent on-quarter.

In absolute terms, gross NPAs rose to Rs 34,251 crore from Rs 33,026 crore, while net NPAs climbed to Rs 10,309 crore from Rs 9,508 crore on-quarter. Provisions for the quarter amounted to Rs 2,701 crore, rising 4 percent from Rs 2,602 on-quarter.

Total deposits of the grew 15.1 percent on-year to Rs 25 lakh crore in the July-September quarter. Current and savings account deposit grew 8.1 percent on-year, with savings deposits at Rs 6.08 lakh crore and current account deposit at Rs 2.75 lakh crore.

Time deposit were at Rs 16.17 lakh crore in July-September quarter, which was up 19.3 percent over the corresponding quarter last year.

CASA deposit comprise of 35.3 percent of the total deposit as on September 30.

In the July-September quarter, gross advances of the bank increased by 7 percent on-year to Rs 25.19 lakh crore.

Retail loans grew by 11.3 percent, and commercial and retail banking grew 17.4 percent.  However, corporate and other wholesale loans were lower by 12 percent.

Overseas advances constituted 1.7 percent of the total advances.

Bank's advances under management, on an average basis were Rs 25.64 lakh crore in July-September quarter, as compared to Rs 23.27 lakh crore in a year ago period, and Rs 25.33 lakh crore in a quarter ago period.

The shares of the bank closed for trading at Rs 1681.15 on October 18, up 0.47 percent on BSE.