HDFC Bank Q2 Results: Net Profit Reached Rs 16,820 Cr; NII Rises 10% Rs 30,114 Cr

The largest private sector bank in the nation, HDFC Bank, said on October 19 that its net profit for the second quarter of the fiscal year 2025 was Rs 16,820 crore, which represents a 5% increase over the same period in the previous year when it was Rs 15,976 crore. The lender's net interest income was Rs 30,114 crore, 10% more than it was at Rs 27,385 crore in the year-ago quarter.

Gross non-performing assets (GNPA) for the lender were 1.36 percent. The NNPA was 0.41 percent. Gross non-performing assets (NPA) stood at 1.36% from 1.33% in the prior quarter (QoQ). Net NPA grew from 0.39% QoQ to 0.41%.

Compared to September 30, 2023, when it was Rs 34,163 billion, the bank's total balance sheet size as of September 30, 2024 was Rs 36,881 billion. As of September 30, 2024, total deposits of HDFC Bank stood at Rs 25,001 billion, up 15.1% from the year-ago quarter. With savings account deposits at Rs 6,081 billion and current account deposits at Rs 2,754 billion, CASA deposits increased by 8.1%. As of September 30, 2024, time deposits were at Rs 16,165 billion, up 19.3% from the same quarter the previous year. As a consequence, CASA deposits made up 35.3% of all deposits.

The bank's average deposits for the September 2024 quarter were Rs 23,540 billion, up 3.1% from the June 2024 quarter and 15.5% from the September 2023 quarter's Rs 20,385 billion.

The bank's average CASA deposits for the September 2024 quarter were Rs 8,084 billion, up 7.3% from the September 2023 quarter's Rs 7,535 billion, but down 0.3% from the June 2024 quarter's Rs 8,106 billion. As of September 30, 2024, gross advances were at Rs 25,190 billion, a 7.0% rise from Q2FY24. Corporate and other wholesale loans dropped by 12.0%, while retail loans jumped by 11.3%, commercial and rural banking loans increased by 17.4%.

On average, the bank's advances under management increased by 10.2% over Rs 23,266 billion in September 2023 and by 1.2% over Rs 25,327 billion in Q1FY25. The advances under management were Rs 25,639 billion in the quarter under review.

The bank's total income for the half year that ended on September 30, 2024, was Rs 1,692 billion, compared to Rs 1,362 billion for the same time the previous year. Net revenue was Rs 821 billion for the half-year that ended on September 30, 2024, compared to Rs 709 billion for the half-year that ended on September 30, 2023.

Compared to the same half year ended September 30, 2023, profit after tax for the half year ended September 30, 2024 was Rs 330 billion, a spike of 18.1%.

As of September 30, 2024, gross non-performing assets were 1.36% of gross advances, compared to 1.33% on June 30, 2024, and 1.34% on September 30, 2023. As of September 30, 2024, net non-performing assets accounted for 0.41% of net advances.

The bank's distribution network consisted of 9,092 branches and 20,993 ATMs spread over 4,088 cities and towns as of September 30, 2024, compared to 7,945 branches and 20,596 ATMs spread over 3,836 cities and towns in the same period in 2023. HDFC Bank has 51% of its branches in rural and semi-urban regions. Furthermore, there are 15,217 business correspondents, the majority of whom work in Common Service Centres (CSC). As of September 30, 2024, there were 2,06,758 employees compared to 1,97,899 in the corresponding quarter of the previous year.