Bank Q4 net up 30 per cent
14 April 2005
HDFC Bank has registered a 30.8 per cent increase
in its net profit at Rs202.4 crore for the fourth quarter
ended March 31, 2005, against Rs154.7 crore in the corresponding
quarter last year.
increase in credit and income from fees and commission
drove profits up, said Paresh Sukhatankar, Head, Credit
and Risk, HDFC Bank.
bank has recommended a dividend of 45 per cent, (Rs4.5
per share) which includes a special one-time dividend
of 5 per cent on the occasion of the bank completing
income rose to Rs1,087.27 crore (Rs806.31 crore). Net
interest income was at Rs513.6 crore (Rs360.57 crore),
driven by balance sheet growth, a marginal improvement
in spreads and profit on sale of retail loans.
income that includes commission and sale of investments
grew by 56.6 per cent to Rs220.1 crore (Rs140.5 crore).
expenditure for the quarter increased to Rs682.33 crore
(Rs521.97 crore).Net profit for the full year rose by
30.6 per cent to Rs665.6 crore (Rs509.5 crore).
income stood at Rs3,744.83 crore (Rs3,028.96 crore).
Net interest income increased to Rs1,777.93 crore from
bank reported a loss of Rs81.06 crore in its treasury
operations against a profit of Rs148.49 crore last year.
This is due to the rise in interest rates, said Sukhatankar.
"We were never dependent on treasury income. Our
income come from fees and commissions have offset the
losses from treasury income," he added.
the outlook on interest rates, Sukhatankar said, "I
expect interest rates to go up in the next three to
six months as government borrowings will happen in the
first half of the year. The rising oil prices too will
push up interest rates. Due to this, interest rates
on both loans and deposits are likely to rise."
But the extent of the interest rate's upward movement
will depend on inflation and the amount of government
borrowing, he added.
the year, total deposits were at Rs36,354 crore. Savings
account deposits increased to Rs 1,1418 crore from Rs.7804
advances grew by 44 per cent to Rs.25,566 crore. This
was driven by a growth of 47.5 per cent in retail advances
to Rs11,696 crore and an increase of 41.3 per cent in
wholesale advances to Rs13,870 crore.
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