New Delhi: HDFC Bank on Saturday reported an 18 per cent jump in its consolidated net profit at Rs 9,096 crore for the second quarter ended last month.
HDFC Bank posted a consolidated net profit of Rs 7,703 crore in the same quarter a year ago.
HDFC Bank said in a statement that total consolidated income during the quarter under review increased to Rs 41,436.36 crore from Rs 38,438.47 crore in July-September 2020, PTI reported.
The country’s largest private sector lender posted a net profit of Rs 8,834.3 crore for the quarter ended September 30, 2020, a growth of 17.6 per cent, after providing Rs 3,048.3 crore for taxation on a standalone basis.
HDFC Bank posted a net profit of Rs 7,513.1 crore on a standalone basis in the corresponding quarter a year ago, the statement said.
The country’s largest private sector lender’s total income (standalone) increased to Rs 38,754.16 crore in the second quarter of FY 2022 from Rs 36,069.42 crore in the year-ago quarter.
HDFC Bank’s net interest income (interest less interest earned) for the quarter ended September 2021 grew by 12.1 per cent to Rs 17,684.4 crore, as against Rs 15,776.4 crore in the same quarter last year.
Further, the bank’s profit before tax for the quarter ended September 30, 2021 increased by 17.5 per cent to Rs 11,882.6 crore, higher than the corresponding quarter of the previous year.
However, there has been a slight decline on the asset front with the bank’s gross non-performing assets rising to 1.35 per cent of gross advances as on September 30, 2021, as against 1.08 per cent at the end of the same quarter in 2020.
Due to the impact of the Covid-19 pandemic, gross NPAs or the total value of bad loans increased to Rs 16,346.07 crore from Rs 11,304.60 crore at the end of the corresponding period of the previous fiscal.
Similarly, HDFC Bank’s net NPAs rose by 0.17 per cent (Rs 1,756.08 crore) at the end of September 30 last year to 0.40 per cent (Rs 4,755.09 crore).
As a result, provision for bad loans and contingencies increased to Rs 3,924.66 crore in the second quarter of FY 2022 as against Rs 3,703.50 crore in the year-ago period.
Talking about the impact of Covid-19 on business, HDFC Bank in its statement said that there is significant volatility in global and Indian financial markets and global and local economic activities due to the pandemic scare as well as restrictions on business and personal activities. There has been a significant decrease in .
The disruptions following the outbreak of Covid-19 have impacted the origination of loans, sale of third party products, usage of credit and debit cards by customers and efficiency in collection efforts, resulting in increase in customer defaults, the statement said. and consequently increased. provisions against it.
“The extent to which the COVID-19 pandemic will continue to affect the Bank’s results will depend on ongoing as well as future developments, which are uncertain, including, among other things, any new changes related to the severity of the COVID-19 pandemic. information is included. and any action whether mandated by the government or chosen by us to prevent its spread or mitigate its impact,” HDFC Bank said, reported PTI.
The country’s largest private sector lender said the capital adequacy ratio (CAR) stood at 20 per cent as on September 30, 2021, as against 19.1 per cent at the end of September 30, 2020.
The regulatory requirement is 11.075 per cent, which includes a capital conservation buffer of 1.875 per cent, and an additional requirement of 0.20 per cent due to HDFC Bank being recognized as a Domestic Systemically Important Bank (D-SIB).
The bank raised USD 1 billion (approximately Rs 7,423.75 crore) in Basel III compliant Additional Tier 1 (AT1) notes and Basel III compliant AT 1 bonds worth Rs 739 crore during the quarter ended September 30 this year.
HDB Financial Services Limited (HDBFSL), a non-deposit taking non-banking finance company (NBFC) posted a profit of Rs 191.7 crore as compared to a loss of Rs 85 crore for the quarter ended September 30 last year, HDFC Bank said. in respect of its subsidiaries.
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Besides, HDFC Securities Ltd (HSL) helped the market bullish, reporting a 44 per cent rise in profit after tax at Rs 239.6 crore as against Rs 165.8 crore for the quarter ended September 30 last year.
HDFC Bank reported a 17 per cent growth in net profit at Rs 16,564 crore for the half year ended September 30, 2021, as against Rs 14,172 crore in the same period last year.
The country’s largest private sector lender earned a total income of Rs 75,525.6 crore as against Rs 70,522.7 crore in the corresponding period of 2020.
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