HDFC Bank Q4 Results HIGHLIGHTS: Profit, NII growth below estimates, NIM in line, asset quality better
HDFC Bank Q4 results HIGHLIGHTS: HDFC Bank (HDFCBANK) — India's largest lender by market capitalisation (mcap) — reported its Q4 results on April 15, 2023. HDFC Bank reported a quarterly net profit of Rs 12,047.5 crore, up 19.8 per cent on a year-on-year basis, falling short of analysts' estimates. HDFC Bank announced a dividend of Rs 19 per share — a 1,900 payout.
With that, HDFC Bank became the first blue-chip lender to release its Q4 numbers in the current corporate earnings season that began this week.
HDFC Bank's net interest income (NII) — or the difference between interest earned and interest paid — grew 23.7 per cent to Rs 23,351.8 crore compared with the year-ago period, according to a regulatory filing.
According to Zee Business research, the lender's quarterly profit was estimated at Rs 12,300 crore and NII at Rs 24,000 crore. Read more on HDFC Bank Q4 results | HDFC Bank dividend
HDFC Bank's net interest margin (NIM) — a key measure of a financial institution's profitability — shrank by 20 basis points sequentially to 4.1 per cent, in line with analysts' estimates.
The Zee Business analysts had pegged the NIM to be flat or negative sequentially from 4.3 per cent in Q3.
How will the Indian share market react to HDFC Bank's quarterly results and its hefty dividend when it returns to trade on Monday, April 17 after a long weekend?
Catch HIGHLIGHTS on HDFC Bank Q4 results and find answers to all your questions on this big event only on Zeebiz.com's blog:
HDFC Bank Q4 results HIGHLIGHTS: HDFC Bank (HDFCBANK) — India's largest lender by market capitalisation (mcap) — reported its Q4 results on April 15, 2023. HDFC Bank reported a quarterly net profit of Rs 12,047.5 crore, up 19.8 per cent on a year-on-year basis, falling short of analysts' estimates. HDFC Bank announced a dividend of Rs 19 per share — a 1,900 payout.
With that, HDFC Bank became the first blue-chip lender to release its Q4 numbers in the current corporate earnings season that began this week.
HDFC Bank's net interest income (NII) — or the difference between interest earned and interest paid — grew 23.7 per cent to Rs 23,351.8 crore compared with the year-ago period, according to a regulatory filing.
According to Zee Business research, the lender's quarterly profit was estimated at Rs 12,300 crore and NII at Rs 24,000 crore. Read more on HDFC Bank Q4 results | HDFC Bank dividend
The Zee Business analysts had pegged the NIM to be flat or negative sequentially from 4.3 per cent in Q3.
How will the Indian share market react to HDFC Bank's quarterly results and its hefty dividend when it returns to trade on Monday, April 17 after a long weekend?
Catch HIGHLIGHTS on HDFC Bank Q4 results and find answers to all your questions on this big event only on Zeebiz.com's blog:
Latest Updates
HDFC BANK Q4 RESULTS | NET BAD LOANS CONTRACT, BETTER THAN ANALYST EXPECTATIONS
Its net non-performing assets as a percentage of total loans also came down. The reading was at 0.27 per cent for Q4, as against 0.33 per cent for Q3 and 0.32 per cent for the quarter ended March 2022.
HDFC BANK Q4 RESULTS | NET INTEREST MARGIN AT 4.1% VS 4.3% IN Q3
HDFC Bank's net interest margin — a key indicator of a bank's profitability — comes in at 4.1 per cent, in line with analysts' expectations.
According to Zee Business research, HDFC Bank's NIM was estimated to be flat or negative sequentially from 4.3 per cent in the quarter ended December 2022.
HDFC Bank Q4 Results | Retail banking revenue jumps 30.6% to Rs 40,160.5 crore
HDFC Bank segment-wise revenue break-up:
- Retail banking: Rs 40,160.5 crore, up 30.6%
- Wholesale banking: Rs 26,534.8 crore, up 50%
- Other banking operations: Rs 6,977.8 crore, up 26%
HDFC BANK Q4 RESULTS | GROSS BAD LOANS SHRINK TO 1.12% OF TOTAL LOANS, BETTER THAN ESTIMATES
HDFC Bank's asset quality improved, measured by the percentage of bad loans in total loans.
Its gross non-performing assets (NPAs) — or bad loans — as a percentage of total loans are at 1.12 per cent in Q4, as against 1.23 per cent in Q3, and 1.17 per cent in the corresponding period a year ago.
HDFC BANK Q4 RESULTS | ASSET QUALITY IMPROVES, BETTER THAN ANALYSTS' EXPECTATION
HDFC BANK Q4 RESULTS | NII UP 23.7% AT Rs 23,351.8 CRORE, MISSES ANALYSTS' ESTIMATE
According to Zee Business research, the lender's net interest income — or the difference between interest earned and interest paid — was estimated at Rs 24,000 crore.
HDFC BANK Q4 RESULTS | NII UP 23.7% AT Rs 23,351.8 CRORE, MISSES ANALYSTS' ESTIMATE
According to Zee Business research, the lender's net interest income — or the difference between interest earned and interest paid — was estimated at Rs 24,000 crore.
HDFC BANK Q4 RESULTS | NII UP 23.7% AT Rs 23,351.8 CRORE, MISSES ANALYSTS' ESTIMATE
According to Zee Business research, the lender's NII was estimated at Rs 24,000 crore.
HDFC BANK Q4 RESULTS | NET PROFIT GROWS 19.8% to RS 12,047.5 CRORE, MISSES ANALYSTS' ESTIMATES
HDFC Bank shares have risen 21.5% in one year; here's a glance at its historical performance
As of April 13, HDFC Bank shares have rewarded investors with a return of 21.5 per cent in the past one year, a period in which the Nifty benchmark index has risen a mere 3.8 per cent.
HDFC Bank shares in one month
HDFC Bank shares in three months
HDFC Bank shares in six months
HDFC Bank shares in one year
Images: BSE
HDFC Bank Q4 Update | CASA ratio at 44% as of March 31 vs 48.2% a year ago
In its Q4 business update, released earlier this month, HDFC Bank said its CASA ratio — or the ratio of current and savings accounts in total deposits — stood at 44 per cent as of March 31, 2023, as against 48.2 per cent a year ago. A lower CASA ratio means a higher cost of funds.
Here are some highlights from the HDFC Bank Q4 update:
- As of March 31, deposits up 20.8 per cent on year at Rs 18.8 lakh crore, loans up 16.9 per cent at Rs 16 lakh crore
- Retail deposits up 23.5 per cent in Q4 at Rs 107 lakh crore
- HDFC Bank bought loans worth Rs 9,340 crore from HDFC
HDFC Bank shares rose half a per cent on Thursday as Indian share market headed into a long weekend
Here's how the HDFCBANK stock moved on April 13:
Image: BSE
Indian financial markets remained shut on Friday for Dr Baba Saheb Ambedkar Jayanti.
HDFC Bank Dividend History | Here's a glance at its dividend announcements over past few years
| Dividend announcement date | Dividend amount (Rs) | Dividend % | Dividend Type | Ex-date |
| April 23, 2022 | 15.5 | 1,550 | Final | May 12, 2022 |
| June 18, 2021 | 6.5 | 650 | Final | June 29, 2021 |
| July 22, 2019 | 5 | 250 | Special | August 1, 2019 |
| April 22, 2019 | 15 | 750 | Final | June 20, 2019 |
| April 23, 2018 | 13 | 650 | Final | May 31, 2018 |
HDFC Bank board to consider dividend today
The HDFC Bank board had last declared a dividend of Rs 15.5 per equity share. Barring 2020, the largest private lender in India has regularly paid dividends to its shareholders.
Read more on HDFC Bank board meeting to consider dividend
HDFC Bank to report Q4 results shortly; first earnings report since RBI's surprise rate pause
The RBI announced a status quo on the repo rate — the key interest rate at which it lends money to commercial banks — at the end of a bi-monthly review by its Monetary Policy Committee on April 6. The pause in the benchmark interest rate came about after six hikes totalling 250 basis points since May 2022.
HDFC Bank Q4 Results Today | NIM likely to be flat to negative vs Q3
According to Zee Business research, HDFC Bank is likely to report its net interest margin (NIM) — a key measure of profitability for lenders — to remain flat or turn negative in Q4 compared with the previous three months (Oct-Dec 2022).
For the final quarter of 2022, the banking behemoth had reported a net interest margin of 4.3 per cent.