HDFC Bank has posted an 18.2 per cent growth in net profit at Rs 3,990 crore for the March quarter of 2016-17 as against a net profit of Rs 3,374 crore in the January-March period of 2015-16 fiscal. Bad loans provisioning rose sharply during the quarter to Rs 1,261 crore, up from Rs 662 crore in the January-March period of 2015-16.
Total income during the fourth quarter rose to Rs 21,560 crore, up from Rs 18,862 crore in the same quarter of the previous fiscal. For full 2016-17 fiscal, HDFC Bank reported a net profit of Rs 14,549 crore, a growth of 18.3 per cent over the previous financial year.
Gross non-performing assets (NPA) of the bank as a percentage of total advances rose to 1.05 per cent during the March quarter, from 0.94 per cent in the same quarter of 2015-16 fiscal.
Shares of HDFC Bank rose by over 2 per cent, adding Rs 8,918 crore to its market valuation on Friday. The stock gained 2.38 per cent to end at Rs 1,496.75 on the BSE. During the day, it rose by 2.60 per cent to Rs 1,500, its 52-week high level.
“Our focus will remain on growing both our wholesale and retail businesses, and that’s something we remain committed to,” HDFC Bank deputy managing director Paresh Sukthankar said. The bank said it accounted for loan defaults that were not recognised as such in the December quarter after the central bank temporarily relaxed rules to help businesses weather the shock banknote ban.
“HDFC Bank came out with good set of results for the quarter. Advances growth which had seen moderation in Q3FY17 picked up during the quarter and reported a 19.4 per cent growth. Deposit growth too has been strong at 17.8 per cent. The CASA ratio continues to strengthen further for the bank and reached 48 per cent for the quarter compared to 45.4 per cent QoQ. NIM also continued to see uptick and moved to 4.3 per cent against 4.1 per cent QoQ. While in absolute terms provisions has gone up by Rs 546 crore almost half of the incremental provisions can be attributed to the general growth in loan book and standard asset provisions there on,” said Siddharth Purohit, Analyst, Angel Broking.
For all the latest India News, download Indian Express App nowFirst Published on: April 22, 2017 3:04 am