BUSINESS

HDFC Bank profit up

CHENNAI OCT. 10. HDFC Bank has reported a good growth in each of its major business franchises and in particular in the retail business. The growth was driven primarily by higher customer acquisition, expanding geography for existing products and higher levels of penetration. The bank earned a net profit of Rs. 117.1 crores in the quarter ended September 30, 2003, a 30.6 per cent increase over the quarter ended September 30, 2002. Total income stood at Rs. 726.50 crores against Rs. 607.30 crores. Net revenues (net interest income plus other income) were Rs. 424.1 crores, up 33.9 per cent over Rs. 316.8 crores for the corresponding quarter of the previous year.

Interest earned (net of loan origination costs) increased by 33.5 per cent to Rs.640.20 crores. Net interest income increased by Rs. 148.60 crores to Rs. 337.80 crores, driven by average asset growth of 39.4 per cent, an improvement in core net interest margin which increased to 3.6 per cent, and higher dividend income of around Rs. 40 crores from debt mutual fund investments.

Other income for the quarter ended September 30, 2003 was Rs. 86.3 crores.