HDFC Bank, India’s largest private sector lender, reported a 5% year-on-year increase in net profit for the second quarter of fiscal year 2025, reaching \u20b916,821 crore, surpassing market expectations. Analysts from seven brokerages had projected the bank’s Q2 net profit to be around \u20b916,570 crore. The stronger-than-anticipated earnings were driven by robust growth in net interest income (NII), which climbed 10% YoY to \u20b930,114 crore, although slightly below the consensus estimate of \u20b930,306 crore.<\/p>\n\n\n\n
The bank’s core net interest margin (NIM) was reported at 3.46% based on total assets and 3.65% on interest-earning assets, reflecting the bank’s ability to maintain profitability amid changing interest rate dynamics. Non-interest income, which includes fees, commissions, and other non-lending revenue, grew to \u20b911,480 crore for the quarter, up from \u20b910,710 crore in the same period last year.<\/p>\n\n\n\n
Asset Quality Slightly Deteriorates as NPAs Edge Up<\/strong><\/p>\n\n\n\n For HDFC Bank, the GNPA ratio inched up to 1.36% as of September 30, 2024, from 1.33% in the previous quarter. Gross NPAs increased to \u20b934,251 crore as against \u20b933,026 crore while net NPAs grew to \u20b910,309 crore from \u20b99,508 crore on sequential basis. This rise in NPAs has been accompanied by a higher provision for the quarter, estimated at \u20b92,701 crore-up 4% over \u20b92,602 crore in the immediate previous quarter. That would suggest a judicious approach towards asset quality management amidst changing macroeconomic conditions.<\/p>\n\n\n\n Deposit Growth Driven by Time Deposits, CASA Share Declines<\/strong><\/p>\n\n\n\n The total deposits for HDFC Bank have increased 15.1% YoY to \u20b925 lakh crore during Q2 FY25; time deposits have increased 19.3% YoY to \u20b916.17 lakh crore, indicating that fixed deposits are preferred because of better interest. CASA deposits, however, stood in growth at 8.1% YoY, as of now: savings deposits are at \u20b96.08 lakh crore and current account deposits at \u20b92.75 lakh crore. Consequently, CASA deposits accounted for 35.3% of total deposits as of September 30, down from the previous quarter, underlining a dip in deposit mix.<\/p>\n","protected":false},"excerpt":{"rendered":" HDFC Bank, India’s largest private sector lender, reported a 5% year-on-year increase in net profit for the second quarter of fiscal year 2025, reaching \u20b916,821 crore, surpassing market expectations. Analysts from seven brokerages had projected the bank’s Q2 net profit to be around \u20b916,570 crore. The stronger-than-anticipated earnings were driven by robust growth in net […]<\/p>\n","protected":false},"author":1,"featured_media":4516,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"set","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[62],"tags":[535],"class_list":["post-4515","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-results","tag-hdfc-bank-q2-results"],"_links":{"self":[{"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/posts\/4515","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/comments?post=4515"}],"version-history":[{"count":1,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/posts\/4515\/revisions"}],"predecessor-version":[{"id":4517,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/posts\/4515\/revisions\/4517"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/media\/4516"}],"wp:attachment":[{"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/media?parent=4515"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/categories?post=4515"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lakshmishree.com\/news\/wp-json\/wp\/v2\/tags?post=4515"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}