HDFC Bank Q1 Result Preview: Strong Loan and Deposit Growth, Lower NPAs to Drive June Quarter Performance

HDFC Bank Q1 Result Preview: Corporate, BB, agriculture and gold loans are expected to drive HDFC Bank's loan growth. Whereas, asset quality across segments is likely to remain steady for the private lender. However, HDFC Bank's net interest margins are likely to remain flattish amid interest reversals on seasonal agri stress, as per experts.

HDFC Bank is set to announce its first quarter result for the financial year 2026-27 on Saturday, July 18. Here's HDFC Bank Q1 result preview.

HDFC Bank Q1 Result Preview: NIMs To Remain Flat

HDFC Bank's net interest margins (NIMs) are likely to remain flat on a sequential basis, as per Motilal Oswal report. The brokerage expects a 2 basis points decline in HDFC Bank NIMs on a quarterly basis amid interest reversals on seasonal agri stress. However, there will be an annual improvement in loans seen to 15.4%, highlighted Mirae Asset Sharekhan in its report.

HDFC Bank Q1 Result Preview: Loan Growth

The private lending giant's loan growth is expected to be at 2.4% on a sequential basis and around 14.5% on a yearly basis. The loan growth is likely to be led by sectors like corporate, BB, agri, gold loans, etc. However, mortgage loan growth may lag, as per Motilal Oswal report.

HDFC Bank Q1 Result Preview: Steady Asset Quality Across Segment

Gross non performing asset (NPA) is likely to decrease to 1.1% in Q1FY27 against 1.4% in Q1FY26, as per Motilal Oswal report. Net NPA is likely to decline marginally to 0.4%. The brokerage highlighted that credit cost is expected to be at 45-50bp. However, Mirae Asset highlights that asset quality in the agriculture segment could see some pinch. Deposit growth to lag credit while impact of FCNR flows to be seen.

HDFC Bank Q1 Result Preview: Profit

As per Mirae Asset Sharekhan, HDFC Bank net profit is likely to increase 6.9% on an annual basis and 0.9% on a sequential basis. Whereas, Motilal Oswal expects a 5.9% annual jump in HDFC Bank Q1 profit.

HDFC Bank Share Price Trend

The stock closed 0.8% higher at Rs 824.25 per share on BSE with a market capitalisation of Rs 12,69,454.42 crore. The stock had touched an intraday high mark of Rs 827.60 per share and an intraday low mark of Rs 820.40 per share. HDFC Bank scrip's return on equity (ROE) stood at 16.22%. The bank stock has delivered 10.3% return in one month, but it has declined 16.8% year to date (YTD).