HDFC
Bank net rises
Our
Banking Bureau
15 July 2004
Mumbai:
HDFC Bank has registered an over 30 per cent jump in
net profits for the first quarter ended June 30, 2004,
at Rs139.97 crore, up from Rs107.28 crore in the same
period last year.
Net
interest income of the bank increased over 43 per cent
to Rs398.79 crore (Rs277.69 crore). Other income fell
18 per cent to Rs108.04 crore (Rs132.19 crore).
"While
core banking income and fee income increased, the profit
on sale and revaluation investments declined leading
to fall in fee income. This was due to the fall in prices
of government securities. We had to provide Rs65 crore
from our profits towards valuation losses of the portfolio,"
said Paresh Sukthankar, country head-risk, HDFC Bank.
The government securities market saw a 0.7 per cent
rise in yields in the first quarter and HDFC Bank provided
for the loss in valuation of its portfolio from the
profit and loss account.
Other
income includes fees and commissions at Rs144 crore
(Rs60.8 crore), foreign exchange products and derivatives
at Rs27.9 crore (Rs29.1 crore) and profit on sale and
revaluation of investments which registered a net loss
of Rs65 crore as against a profit of Rs42 crore in the
previous year. Total income increased 14 per cent to
Rs810.6 crore (Rs709.26 crore) and total expenditure
increased 11 per cent to Rs534.59 crore (Rs481.33 crore).
As
on June 30, 2004, total deposits were Rs31,406 crore,
an increase of 34.6 per cent from Rs23,340 crores in
June 2003.
Total
assets grew 54 per cent to Rs18,400 crore (Rs11,900
crore) while retail loans (a net of Rs740 crore loans
securitised out) grew 82.4 per cent on a year-on-year
basis to Rs7,871 crore (Rs4,300 crore).
Portfolio
quality as on June 30, 2004, remained healthy with net
non-performing assets at 0.2 per cent of advances and
the capital adequacy ratio was at 11 per cent, said
a press note from the bank.
