HDFC, India’s largest private sector bank, announced their Quarterly results on Saturday. They have beat the market estimates regarding its growth and earnings as the bank has reported an exponential increase in the net profit as well as net interest income on a year-on-year basis.
The private bank has quoted that their net profit for Q3 of FY23 is ₹12,259.50 crore which is 18.5 percent YoY rise against net profit of Q3 FY22 which stood at ₹10,342.20 crore.
Following the release of HDFC Bank’s Q3 2023 results, The bank has reported a significant increase in net interest margin (NII). In the recently concluded quarter of December 2022, HDFC Bank reported an NII of Rs.22,987.9 crore. This is about 24.60% higher than the NII of Rs.18,443.50 crore in the third quarter of FY22.
The bank has also reported that it has cut down provisioning on both the Quarter-on-Quarter basis as well as year-on-year basis. The bank stated that the provisions in their company stands at Rs 2,806.4 crore in Q3 of FY23 as compared to Rs 3,240.1 crore in Q2 of FY23. Meanwhile, the provision stood at Rs 2,994 crore in Q3 of FY22 thus the private bank has cut down its provisions by 6.6 percent on a year-on-year basis and 13.40 percent on Quarter-on-Quarter basis.
HDFC Bank has also managed to improve its total debt total asset ratio on both QoQ and YoY basis. In Q3 of FY23 the bank’s total debts to total assets stood at 9.18 percent as compared to 9.29 percent in Q2 of FY23 and 9.82 percent in Q3 of FY22.