Money & Banking

HDFC Bank Q2 net profit up 26.8 per cent

Our Bureau Mumbai | Updated on October 19, 2019 Published on October 19, 2019

HDFC Bank's provisions and contingencies rose sharply to Rs 2,700.7 crore in the second quarter this fiscal . File photo   -  Reuters

The net NPAs also rose marginally to Rs 3,790.95 crore

HDFC Bank posted a 26.8 per cent increase in its net profit to Rs 6,344.99 crore in the second quarter of the fiscal.

Its net profit amounted to Rs 5,005.73 crore in the July to September 2019 quarter.

The Bank's total income for the quarter ended September 30, 2019 grew by a strong 19.6 per cent to Rs 33,755.0 crore from Rs 28,215.2 crore a year ago.

The net interest income for the second quarter of the fiscal rose by 15 per cent to Rs 13,515.0 crore from Rs 11,763.4 crore a year ago. “This was driven by average asset growth of 15 per cent and a core net interest margin for the quarter of 4.2 per cent,” HDFC Bank said in a statement on Saturday.

The bank’s provisions and contingencies rose sharply to Rs 2,700.7 crore in the second quarter this fiscal as against Rs 1,820.0 crore for the quarter ended September 30, 2018.

It also provided Rs 2,652.4 crore for taxation in the second quarter this fiscal and had recorded a similar amount in the same period a year ago.

Asset quality remained stable. Gross non-performing assets (NPAs) were at 1.38 per cent of gross advances as on September 30, 2019 as against 1.4 per cent as on June 30, 2019 and 1.33 per cent as on September 30, 2018. In absolute numbers, gross NPAs however, rose to Rs 12,508.15 crore in the second quarter of the fiscal from Rs 10,097.73 crore a year ago.

The net NPAs also rose marginally to Rs 3,790.95 crore or 0.42 per cent of net advances as on September 30, 2019 from Rs 3,028.24 crore of 0.4 per cent a year ago.

HDFC Bank’s total balance sheet size, as of September 30, 2019, grew to Rs 13,25,072 crore from Rs 11,69,898 crore a year ago. Total deposits grew 22.6 per cent to Rs 10,21,615 crore from a year ago as on September 20, 2019 while total advances increased by 19.5 per cent to Rs 8,96,984 crore in the same period.

Published on October 19, 2019
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