HDFC Bank has announced that its net profit has risen by 20.3% to touch Rs.5,585.9 crore during the third quarter of the financial year that ended on 31 December 2018. The lender had registered a net profit of Rs.4,642.6 crore in the year-ago period.
The bank’s total income increased to Rs.30,811.27 crore during the period under review from Rs.24,450.44 crore during the October-December quarter of the previous financial year. The net interest income increased by 21.9% to Rs.12,576.8 crore during the October-December quarter of the current fiscal. In comparison, the net interest income earned in the year-ago period was Rs.10,314.3 crore.
During the period under review, gross non-performing assets (NPAs) increased to 1.38% of the total advances from 1.29% in the year-ago period. Net non-performing assets of HDFC Bank reduced to 0.42% of the assets during the quarter that ended on 31 December 2018, in comparison to 0.44% during the corresponding period in the previous financial year.
HDFC Bank’s provisions (apart from tax) and contingencies grew significantly to touch a sum of Rs.2,211.53 crore, in comparison to Rs.1,351.44 crore in the year-ago period.
The bank gave a break-up of the provisions and contingencies, which consisted of a specific loan loss of Rs.1,734.6 crore and general and other provisions of Rs.476.9 crore. The bank added that the provisions for the third quarter of the current fiscal included a Rs.322.4 crore charge towards contingent provisions.
Other incomes of HDFC Bank increased to Rs.4,921.01 crore from Rs.3,869.17 crore in the year-ago period. For the nine months that ended in December 2018, the net profit increased by 19.7% to touch Rs.15,193 crore, in comparison to Rs.12,687.47 crore during the October-December quarter of the previous financial year.
The lender’s total income came up to Rs.85,393.5 crore during the period under review, in comparison to Rs.69,912 crore in the year-ago period. HDFC Bank also mentioned that the total balance sheet size, as on 31 December 2018, came up to a sum of Rs.11,68,556 crore, as against a sum of Rs.9,49,079 crore in the year-ago period.
The total deposits grew by 22% to touch Rs.8,52,502 crore, while the total advances increased by 24% to touch Rs.7,80,951 crore. The bank’s total CAR or Capital Adequacy Ratio as per Basel III guidelines touched 17.3% in the third quarter of the current fiscal.
Sources: The Times of India, Business Today