HDFC Bank declared better than expected fourth quarter (January-March) results with net profit of Rs.1,114.7 crore, up about 33.2% year-on-year, supported by a strong loan-book growth and higher fee-based income. Bank’s quarterly net interest income was up 20.8% from a year ago to Rs.2,839.5 crore. However, HDFC Bank’s other income during the three-month period rose 32.1% year-on-year (YoY) to Rs.1,255.8 crore, as fees and commissions rose 23.2% to about Rs.1,000.6 crore. The bank’s net interest margin (NIM) for the fourth quarter was at 4.2%, which is stable on a sequential basis.
As of March 31 2011, the bank’s net advances were up 27.1% to Rs.1,59,983 crore, while total deposits were up 24.6% to Rs.2,08,586 crore. The CASA ratio was at 51% as of March 31 2011. HDFC Bank’s total capital adequacy ratio according to Basel II norms was 16.2% as of March 31, compared with 17.4% a year ago. Net non-performing assets or NPAs declined to 0.2%, compared with 0.3% a year ago. As of March 31 2011, HDFC Bank Ltd. had 1,986 branches and 5,471 ATMs.
Also HDFC Bank’s board has approved subdivision of one equity share from face value of Rs.10 to five shares of Rs.2. Future growth of the company is likely to remain strong for the coming years.