HDFC Bank Q4 Results HIGHLIGHTS: Profit, NII growth below estimates, NIM in line, asset quality better
HDFC Bank Q4 results HIGHLIGHTS: HDFC Bank (HDFCBANK) - Indias largest lender by market value - reported a weak set of Q4 results on April 15, 2023. HDFC Banks board announced a dividend of Rs 19 per share. HDFC Bank became the first blue-chip lender to release its Q4 numbers in the current corporate earnings season that began this week. Catch minute-by-minute LIVE updates on HDFC Bank Q4 results and what to make of the key metrics only on Zeebiz.coms 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:
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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 | 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 | 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 | 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 | 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 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.
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 | Here's how HDFCBANK shares fared in Q4
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.
Read more on HDFC Bank results for Oct-Dec 2022 period
HDFC Bank Share Price | How has the big Nifty 50 stock performed in Q4?
HDFC Bank shares — traded with the symbol HDFCBANK on stock exchanges BSE and NSE — declined 1.1 per cent in the three-month period, though better than a 4.1 per cent drop in the headline Nifty 50 index.
Did you know HDFC Bank has the second largest weight in the Nifty 50 benchmark? As of March 31, its weight in the headline index stood at 9.3 per cent, second only to Reliance Industries' 10.3 per cent.
HDFC Bank Q4 Results Today | Here's a glance at how the lender fared in the previous quarter
For the three-month period that ended on March 31, 2022, HDFC Bank reported 22.8 per cent growth in net profit on a year-on-year basis to Rs 10,055.2 crore.
Its net interest income (NII) — or the difference between interest earned and interest paid — increased 10.2 per cent to Rs 18,872.8 crore.
HDFC Bank gave a business update recently; what does it suggest?
In a business update released this month, HDFC Bank (HDFCBANK) said its loans stood at Rs 16,00,500 crore at the end of March 31, 2023, marking quarter-on-quarter growth of 6.2 per cent.
Its advances — or loans — expanded 6.5 per cent sequentially, taking into account gross of transfers through interbank participation certificates and bills, according to the lender. Read more on HDFC Bank's Q4 update
HDFC Bank Q4 Results Today | India's largest bank by mcap all set to report earnings report soon
HDFC Bank (HDFCBANK) is all set to report its corporate earnings for the January-March 2023 period today. The financial results of the banking behemoth come at a time when the RBI has paused key interest rates for now but hinted at possible increases going forward in its battle to tackle sticky inflation without damaging economic growth.
According to Zee Business research, HDFC Bank is likely to report:
- a standalone net profit of Rs 12,300 crore, which translates to a 22.3 per cent increase vs corresponding period a year ago;
- Rs 24,000 crore in net interest income (NII) — the difference between interest earned and interest paid, up 27.2 per cent;
- steady asset quality, with gross non-performing assets (NPAs) — or bad loans — as a percentage of total loans at 1.2 per cent, down by three basis points sequentially;
- net NPAs of 0.33 per cent, unchanged on a quarter-on-quarter basis, and
- a steady net interest margin (NIM) — a key measure of profitability for financial lenders — at 4.3 per cent, flat sequentially
Read more on what to expect in HDFC Bank Q4 earnings report today
Welcome to Zeebiz.com's blog on HDFC Bank Q4 results today
HDFC Bank — India's largest bank by market capitalisation — is all set to become the first blue-chip lender to report its earnings in the current results season that began this week. HDFC Bank (HDFCBANK) will be the first Nifty Bank company to report its quarterly numbers.
HDFC Bank's board will also consider a dividend today. Is a big HDFC Bank dividend announcement on the cards? Follow this space to find answers to all your questions, and catch minute-by-minute LIVE updates on HDFC Bank Q4 results and what to make of the banking behemoth's performance in key metrics, and much more, only on Zeebiz.com's blog.
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