HDFC Bank Back To Normalisation In Q3, Says Prabhudas Lilladher
Pedestrians walk by an HDFC Bank Ltd. branch in Mumbai, India. (Photographer: Kuni Takahashi/Bloomberg)

HDFC Bank Back To Normalisation In Q3, Says Prabhudas Lilladher

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Prabhudas Lilladher Report

HDFC Bank Ltd.’s earnings were in-line at Rs 87.6 billion (our estimate Rs 87.5 billion) with net interest income slightly growing slow at 15%, though net interest margin improved by 10 basis points to 4.2%.

Better treasury gains helped pre-provision operating profit and made additional Rs 26 billion of contingent provisions.

Contingency plus floating provisions now stood at 100 basis points of loans (70 basis points in Q2 FY21) which is quite adequate given normalisation in slippage and lower restructured book of 50 basis points of loans (Rs 54 billion).

Collections also have normalised to pre-Covid-19 levels of 97% but yet varies product to product making growth aspects slightly cautious.

Click on the attachment to read the full report:

Prabhudas Lilladher HDFC Bank Q3FY21 Result Update.pdf

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.