HDFC Bank Q4 profit seen up 18% at Rs 3966 cr, outlook on retail loan growth key

Country's second largest private sector lender HDFC Bank is expected to report profit growth below 20 percent for the second consecutive quarter in Q4FY17.

According to average of estimates of analysts polled by CNBC-TV18, profit during the quarter is seen rising 17.6 percent year-on-year to Rs 3,966.6 crore and net interest income may increase 16.5 percent to 8,684.4 crore compared with year-ago period.

Key things to watch out for

Analysts say if the company reports loan growth above 13 percent (13.5 percent in Q3) and net interest margin above 4 percent (4.1 percent) then that may be considered positive by the Street.

They believe low cost deposit flow should remain strong. Outlook on retail loan growth will be closely watched by the Street.

Gross non-performing assets as a percentage of gross advances in Q3FY17 stood at 1.05 percent and net NPA at 0.32 percent.