HDFC Bank Q3: Net Profit Rises Over 2%, See The Lender's Net Interest Income, Asset Quality, And More

The private lender clocked a profit of Rs 16,736 crore in the third quarter of FY25, climbing 2.2 per cent against Rs 16,373 crore reported in the corresponding quarter in the preceding FY24

The Gross NPA for the bank climbed 16 per cent to Rs 36,019 crore in Q3FY25, against Rs 31,012 crore reported in the October-December quarter a year earlier.

Source : PTI

HDFC Bank on Wednesday clocked a slight increase in its net profit in the October-December quarter in the current 2024-25 fiscal year (FY25). The private lender clocked a profit of Rs 16,736 crore in the third quarter of FY25, climbing 2.2 per cent against Rs 16,373 crore reported in the corresponding quarter in the preceding 2023-24 fiscal year (FY24). This muted performance was attributed to a fall in the bank's asset quality.

The lender’s net interest income (NII) stood at Rs 30,690 crore in the quarter under review, jumping 8 per cent on a year-on-year (YoY) basis, reported Moneycontrol. NII is a reflector of interest earned by the bank after measuring the difference between the interest borrowers pay to the bank and the interest paid by the bank to its depositors.

HDFC Bank's Asset Quality

However, the lender also reported an increase in the Non-Performing Assets (NPAs) and NPA ratios. The Gross NPA for the bank climbed 16 per cent to Rs 36,019 crore in Q3FY25, against Rs 31,012 crore reported in the October-December quarter a year earlier.

The Net NPAs of the lender soared 51 per cent to Rs 11,588 crore on a YoY basis. NPAs are loans or advances issued by the bank which are subject to late repayment or unlikely to be repaid by the borrower in full.

The private lender saw a decline in its provisions for the quarter to Rs 3,154 crore, in comparison to Rs 4,217 crore logged in the third quarter of the previous financial year. Provisions are set amounts maintained by the bank to cover probable losses on bad assets.

The deposits of the bank touched Rs 25.6 lakh crore in the reviewing quarter, clocking a growth of 15.8 per cent against the same period last year. The gross advances jumped 3 per cent to touch Rs 25.4 lakh crore during the same period.