Bank Q4 and FY06 results meet expectations
14 April 2005
Bank has once again turned in quarterly and annual results
which have met market expectations. The bank is often
referred to as 'the 30 per cent bank' for the regularity
with which it reports quarterly profit growth of around
30 per cent.
For the full year 2005-06, HDFC Bank has reported a
30.83 per cent rise in net profits to Rs870.78 crore
from Rs665.56 crore for the previous year.
income, including investment income and interest in
balances with RBI, for the full year increased 44.67
per cent to Rs4,475.34 crore from Rs3,093.49 crore.
Income from treasury operations and other income were
higher by 72.56 per cent at Rs1,123.98 crore from Rs651.34
expenses for the full year increased 46.67 per cent
to Rs1,929.5 crore from Rs1,315.56 crore for the previous
year. Operating expenses, including staff costs, rose
55.8 per cent to Rs1,691.09 crore from Rs1,085.4 crore.
margins for the year were at 35.34 per cent, marginally
lower than 35.89 per cent for the previous year.
the quarter ended March 2006, the bank's net profit
increased by 30.06 per cent to Rs263.21 crore or Rs8.4
per equity share from Rs202.37 crore or Rs6.7 per equity
share for the previous year quarter.
income, including income from investments, for the quarter
increased by 58.96 per cent from Rs867.21 crore to Rs1,378.5
crore. Income from treasury operations and other income
increased by 38.21 per cent to Rs304.15 crore from Rs220.06
pressure of rising deposit rates is evident from the
80.73 per cent rise in interest expenses to Rs639.09
crore from Rs353.63 crore. Other expenditure, including
staff costs, increased 46.78 per cent to Rs482.32 crore
from Rs328.6 crore.
margins for the quarter dropped nearly 400 basis points
from 37.25 per cent to 33.35 per cent. Provisions for
the quarter increased 74.5 per cent to Rs181.6 crore
from Rs107.07 crore.
has always focused on maintaining asset quality even
at the cost of rapid growth. The bank's asset quality
remained excellent during the quarter with NPA's of
just 1.2 per cent and net bad assets at 0.4 per cent
of total assets.
adequacy ratio as at the end of the March quarter stood
at 11.4 per cent as compared to 12.2 per cent during
the year ago period. The bank raised Rs788 crore during
the quarter as tier II capital in the form of subordinated
bank added 68 new branches during the quarter by including
17 new locations to its network. HDFC Bank said it would
to expand in semi-urban and markets with lower penetration.
At present, 54 per cent of the 535 branches are outside
reports on HDFC Bank
reports on Bank