HDFC Bank's Profits Climb Amidst Asset Quality Concerns

HDFC Bank reported a 5% rise in standalone profit to Rs 16,821 crore for Q2 2024. Despite growth in total and interest income, asset quality slightly worsened with an increase in gross NPAs to 1.36%. Consolidated net profit grew by 6% to Rs 17,826 crore.

HDFC Bank, India's largest private sector lender, reported a modest 5% increase in its standalone profit for the second quarter, ending September 2024. The bank's earnings reached Rs 16,821 crore, up from Rs 15,976 crore in the corresponding quarter of the previous year.

Total income rose to an impressive Rs 85,500 crore, compared to Rs 78,406 crore in the prior year, according to a regulatory filing. Interest income climbed to Rs 74,017 crore from the previous year's Rs 67,698 crore.

Net Interest Income also saw a 10% boost to Rs 30,110 crore. However, the bank's asset quality showed signs of deterioration, with gross NPAs inching up to 1.36% of gross loans and net NPAs rising to 0.41% by September's end. On a consolidated scale, net profit grew by 6% to Rs 17,826 crore.

(With inputs from agencies.)