Private lender HDFC Bank has reported a 20.6% jump in its net profit to ₹5,005.73 for the second quarter ended September, 2018, rising from ₹4,151.03 crore in the corresponding quarter of the previous year.
Total income for the quarter grew 21.2% to ₹28,215.15 crore (₹23,276.18 crore), the bank reported in a regulatory filing with the exchanges.
The gross non-performing assets (NPA) stood at 1.33% of gross advances at the end of September, 2018, up from 1.26% at the end of September, 2017. For the quarter ended June 2018, the gross NPA stood at 1.33%.
The net NPAs, however, fell to 0.4% of net loans by the end of second quarter against 0.43% a year earlier. For the June quarter this year, net NPA was 0.41%
Net interest income grew 20.6% in the quarter under review to ₹11,763.4 crore, driven by average asset growth of 22.9% and a net interest margin of 4.3%. In the same period last year, net interest income was ₹9,752.1 crore.
During the quarter under review, the bank had set apart ₹1,820 crore towards provisions and contingencies comprising specific loan loss provisions to the tune of ₹1,572.5 crore and general and other provisions of ₹247.5 crore. The bank had made a provision of ₹1,476.2 crore for the quarter ended September, 2017.
The bank said its deposits had grown 20.9% to ₹8,33,364 crore in the quarter with CASA (current and saving account) deposits rising 18.3%. The liquidity coverage, as a consequence, had improved to 118%, much above the regulatory requirement. The capital adequacy ratio improved to 17.1%, up from 15.1% as at the end of September, 2017.
