HDFC Bank Q1 results: Profit jumps 16% YoY to Rs 7,729 crore
Provision and contingencies for the quarter ended June 30 came at Rs 4830.80 crore as against Rs 3891.50 crore for the corresponding quarter last year
Private sector lender HDFC Bank on Saturday posted 16.08% year-on-year (YoY) growth in standalone net profit at Rs 7,729.64 crore for the quarter ended June 30. It had posted a profit of Rs 6658.62 crore in the same period last year. Net interest income of the lender increased by 8.58% YoY to Rs 17,009 crore, driven by advances in growth of 14.4%.
Pre-provision operating profit (PPOP) grew 18% YoY to Rs 15137 crore. Provision and contingencies for the quarter ended June 30 came at Rs 4830.80 crore as against Rs 3891.50 crore for the corresponding quarter last year.
“The second wave of Covid-19 disrupted business activities for close to two-thirds of the quarter, leading to a decrease in efficiency in collection efforts and a higher level of provisions. The total credit cost ratio was at 1.67% as compared to 1.64% for the quarter ended March 31 and 1.54% for the quarter ended June 30, 2020,” HDFC Bank said in a release.
Total balance sheet size stood at Rs 17,53,941 crore as of June 30 as against Rs 1545103 crore as of June 30 last year, indicating a growth of 13.50%. Total deposits increased by 13.20% YoY to Rs 13.45 lakh crore. CASA deposits grew by 28.10% with savings account deposits stood at Rs 4.26 lakh crore and current accounts at Rs 1.85 lakh crore.
The asset quality of HDFC Bank deteriorated marginally during the quarter with the percentage of gross non-performing assets increased to 1.47% during the April-June quarter against 1.32% in the preceding quarter ended March 31 and 1.36% in the same quarter last year. The percentage of net NPA also moved higher to 0.48% against 0.40% QoQ.
Shares of the company settled at 0.08% higher at Rs 1521.70 on Friday, while the benchmark BSE Sensex closed 0.04% down at 53,140.
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