HDFC Bank on Saturday beat Street estimates to report a 5.28 per cent rise in net profits for the quarter ended September 30. The private sector lender posted a net profit of ₹16,820.97 crore against ₹15,976.11 crore in the corresponding period of the previous year.

Analysts were expecting the bank to report net profits of ₹16,000-16,500 crore.

The numbers came amid a drop in provisions and steady loan growth. While provisions fell to ₹2,700.46 crore from ₹2,903.83 crore in the year-ago period, HDFC Bank’s gross advances stood at ₹2,519,000 crore, which marked an increase of 7 per cent over September 30, 2023.

Of this, retail mortgage loans were at ₹8,0,2800 crore (₹7,88,000 crore in the April-June quarter). The total retail advances were at ₹1,315,600 crore compared with ₹1,281,700 crore on a sequential basis and ₹1,182,100 crore in the year-ago period.

Retail advances were at ₹1,89,600 crore against ₹1,85,900 crore in the preceding quarter. Auto loans stood at ₹1,37,500 crore compared with ₹1,33,000 crore a year ago.

During the quarter, core net interest income (NII-interest earned minus interest expended) rose 10 per cent to ₹30,110 crore from ₹27,390 crore a year ago

On the asset quality front, the percentage of gross non-performing assets (NPAs) to gross advances stood marginally higher at 1.36 per cent against 1.33 per cent in the preceding three months. Net NPAs were at 0.41 per cent against 0.39 per cent.

In absolute terms, the gross NPAs were at ₹34,250.62 crore compared with ₹33,025.69 crore on a sequential basis. Other income (non-interest revenue) standing at ₹11,480 crore against ₹10,710 crore a year ago.

Total deposits stood at 2,500,100 crore, which marked an increase of 15.1 per cent over September 30, 2023. Low cost CASA (current account and saving account) deposits rose 8.1 per cent.

The HDFC Bank board has approved a share sale worth ₹12,500 crore comprising ₹10,000 crore offer for sale (OFS) related to its subsidiary HDB Financial Services.

Kotak Bank net up 13%

Kotak Mahindra Bank has posted a 13 per cent growth in September quarter profit at ₹5,044 crore, helped by the performance of its subsidiaries.

On a standalone basis, the lender’s net profit grew 5 per cent to ₹3,344 crore, limited by a jump in provisions.

The core net interest income grew 11 per cent at ₹7,020 crore on the back of a 17 per cent growth in advances and a 0.31 per cent narrowing in the net interest margin at 4.91 per cent.