HDFC Bank’s consolidated net revenue increased by 114.8 per cent to 66,317 crore for the quarter ended September 30, 2023, from 30,871 crore for the quarter ended September 30, 2022. The consolidated profit after tax for the quarter ended September 30, 2023 was 16,811 crore, up 51.1 per cent from the previous quarter.
The consolidated profit after tax for the half year ended September 30, 2023 was 29,182 crore, representing an increase of 40.9 per cent over the half year ended September 30, 2022.
The bank’s net revenue increased by 33.1 per cent to 38,093 crore for the quarter ended September 30, 2023, up from 28,617 crore for the same period in the previous year.
Net interest revenue (interest received less interest expenditure) increased by 30.3 per cent to 27,385 crore for the quarter ended September 30, 2023, from 21,021 crore for the quarter ended September 30, 2022. For the quarter, the core net interest margin was 3.65 per cent on total assets and 3.85 per cent on interest earning assets. The reported NIM for the quarter is 3.4 per cent on total assets and 3.6 per cent on interest generating assets after absorbing debt funded costs for increased liquidity and merger management.
In contrast to the equivalent quarter ended September 30, 2022, the other income (non-interest revenue) for the quarter ended September 30, 2023 was $10,708 crore. Fees and commissions, which totaled 6,936 crores (up from 5,803 crores in the corresponding quarter of the previous year), foreign exchange and derivatives revenue, which totaled 1,221 crores (up from 1,082 crores in the corresponding quarter of the previous year), net trading and mark-to-market gain, which totaled 1,041 crores (up from a loss of 387 crores in the corresponding quarter of the previous year), and miscellaneous income, including recoveries and dividend, of Rs 1,510 crore (Rs 1,098 crore in the quarter of last year)
Operating expenses for the quarter ending September 30, 2023 were 15,399 crore, a 37.2 per cent increase over the previous year’s corresponding quarter of 11,225 crore. For the quarter, the cost-to-income ratio was 40.4 per cent.
Pre-provision operating profit (PPOP) of 22,694 crore increased by 30.5 per cent over the previous year’s corresponding quarter.
Provisions and contingencies were 2,904 crore for the quarter ended September 30, 2023, compared to 3,240 crore for the quarter ended September 30, 2022.
The overall credit cost ratio was 0.49 per cent, down from 0.87 per cent in the fiscal quarter ending September 30, 2022.
Profit before tax (PBT) was 19,790 crore for the quarter ending September 30, 2023. After deducting tax of 3,814 crore, the bank generated a net profit of 15,976 crore, a 50.6 per cent rise over the quarter ended September 30, 2022.
The total balance sheet size on September 30, 2023 was 34,16,310 crore, up from 22,27,893 crore on September 30, 2022.
Total Deposits increased by nearly 1.1 lac crore during the quarter following the merger, reaching 21,72,858 crore as of September 30, 2023, a 29.8 per cent increase over September 30, 2022. Savings account deposits increased by 7.6 per cent to 5,69,956 crore, while current account deposits increased by 2.47,749 crore. Time deposits was at 13,55,153 crore, up 48.3 per cent from the previous year’s corresponding quarter, with CASA deposits accounting for 37.6 per cent of total deposits as of September 30, 2023.
Gross advances climbed by roughly 1.1 lac crore during the quarter following the merger, reaching 23,54,633 crore as of September 30, 2023, a 57.7 per cent increase over September 30, 2022. Grossing up for transfers via inter-bank participation certificates and rediscounted bills, advances increased by 60.0 per cent between September 30, 2022 and September 30, 2023. Domestic retail loans increased by 1121 per cent, commercial and rural banking loans increased by 29.5 per cent, and corporate and other wholesale loans increased by 7.9 per cent (excluding non-individual loans of roughly 1,02,800 crore from eHDFC Ltd). Foreign advances accounted for 1.7 per cent of total advances.
The Bank made a total income of 1,36,223 crore for the half year ending September 30, 2023, compared to 87,742 crore in the previous year’s similar period. Net revenues (net interest income plus other income) were 70,922 crore for the half year ended September 30, 2023, compared to 54,486 crore for the half year ended September 30, 2022. Profit after tax for the half year ended September 30, 2023 was 27,928 crore, representing a 41.0 per cent increase over the previous half year ended September 30, 2022.
According to Basel III criteria, the bank’s total capital adequacy ratio (CAR) was 19.5 per cent as of September 30, 2023 (18.0 per cent as of September 30, 2022), compared to a regulatory requirement of 11.7 per cent. As of September 30, 2023, the Tier 1 CAR was 17.8 per cent and the Common Equity Tier 1 Capital ratio was 17.3 per cent. The risk-weighted assets stood at 21,74,226 crore.
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