HDFC Q2 profit up 15% on healthy growth in lending
HDFC reported a 15 per cent increase in second-quarter profit at ₹2,101 crore against ₹1,827 crore in the year-ago quarter. This comes on the back of healthy growth in loans, and stable spreads.
The net interest margin (the difference between interest earned and expended) in the reporting quarter was up 14 per cent year-on-year at ₹2,612 crore.
“Individual loan disbursements grew 23 per cent, which on a base as large as ours, is a very substantial increase. Total loan book growth was 18 per cent,” said Vice-Chairman and Chief Executive Keki Mistry.
The loan book, on Assets Under Management basis, as of September-end 2017 stood at ₹3.68 lakh crore, an increase of 18 per cent over the previous year. During the quarter, HDFC sold loans aggregating ₹3,530 crore (of which ₹3,165 crore were to HDFC Bank and ₹365 crore to other banks).
NPAs stood at 1.14 per cent (compared to 1.12 per cent in the June quarter). On September 30, HDFC carried a total balance-sheet provision of ₹3,235 crore against the regulatory requirement of ₹2,500 crore.