HDFC Bank Posts Rs 17,830 Crore PAT In Q2, Up 17.4% YoY

HDFC Bank, India's largest private sector lender, reported a consolidated profit after tax (PAT) of Rs 17,830 crore for the quarter ended September 30, 2024. This represents a significant growth of 17.4 per cent, adjusted for trading and mark-to-market gains, as well as tax credits from the prior year. In its disclosure to the exchanges on 19 October, the bank also noted that the consolidated PAT for the half year ending 30 September 2024, stood at Rs 34,300 crore.

The bank’s consolidated revenue grew by 14.7 per cent year-on-year (YoY) to Rs 76,040 crore for the quarter, compared to Rs 66,320 crore in the same period last year. The net revenue for the quarter saw an increase of 9.2 per cent, rising to Rs 41,600 crore from Rs 38,090 crore a year ago.

Earnings per share for the quarter ended 30 September 2024, stood at Rs 23.4, and the book value per share as of that date was Rs 631.4. Net interest income (NII), which is the difference between interest earned and interest expended, grew by 10 per cent to Rs 30,110 crore from Rs 27,390 crore in the corresponding quarter of the previous year. The bank’s core net interest margin (NIM) was at 3.46 per cent on total assets and 3.65 per cent based on interest-earning assets.

Non-interest revenue, which includes other income, amounted to Rs 11,480 crore, up from Rs 10,710 crore for the quarter ended September 30, 2023. Operating expenses for the quarter stood at Rs 16,890 crore, marking a 9.7 per cent increase compared to Rs 15,400 crore in the same period last year. The bank’s cost-to-income ratio for the quarter was reported at 40.6 per cent.

As of 30 September 2024, HDFC Bank’s total balance sheet size had expanded to Rs 36,88,100 crore, up from Rs 34,16,300 crore a year earlier. Total deposits for the quarter amounted to Rs 25,00,100 crore, reflecting a 15.1 per cent increase compared to the same period last year. The bank’s CASA (Current Account and Savings Account) deposits grew by 8.1 per cent, with savings account deposits at Rs 6,08,100 crore and current account deposits at Rs 2,75,400 crore.

Time deposits saw a 19.3 per cent growth, standing at Rs 16,16,500 crore, which resulted in CASA deposits making up 35.3 per cent of total deposits as of the end of the quarter. The average deposits for the September quarter were Rs 23,54,000 crore, reflecting a 15.5 per cent YoY increase from Rs 20,38,500 crore and a 3.1 per cent rise from Rs 22,83,100 crore in the June quarter of 2024.

On the asset quality front, HDFC Bank’s gross non-performing assets (GNPA) ratio stood at 1.36 per cent, a slight increase from 1.33 per cent in the previous quarter. The net NPA (NNPA) ratio rose to 0.41 per cent from 0.39 per cent in the previous quarter. In absolute terms, gross NPAs increased to Rs 34,250.6 crore from Rs 33,025.7 crore, while net NPAs climbed to Rs 10,308.5 crore from Rs 9,508.4 crore in the same period.

Provisions for the quarter stood at Rs 2,700.5 crore, down from Rs 2,903.8 crore year-on-year but slightly up from Rs 2,602.06 crore in the previous quarter. HDFC Bank's robust financial performance underscores its resilience and ability to maintain strong growth across key metrics, even amid a challenging macroeconomic environment.