HDFC Bank Reports Five Percent Profit Rise Amid Margin Pressures
· Business · Economic Times, Zee News
HDFC Bank posted a standalone net profit of ₹19,510 crore for the second quarter, representing a 4.7% increase from ₹18,640 crore a year earlier. The modest profit growth was achieved as margin pressures and hardening bond yields partially offset accelerating asset and deposit growth in Mumbai. Core net interest income rose 9.7% year-on-year to ₹34,620 crore, aided by a swelling loan book at India's most-valued lender. Meanwhile, net interest margin moderated to 3.16% from 3.27%, and return on assets softened to 1.78%. Outgoing chief executive Sashidhar Jagdishan noted strong underlying business momentum in retail and MSME segments during a post-earnings call, as the bank prepares to welcome a new chief executive to end protracted leadership succession uncertainty.
Why it matters
As India's largest private lender, HDFC Bank's margin compression and loan growth metrics signal broader credit trends affecting retail and MSME borrowers nationwide.
Read the original report — Economic Times
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