HDFC Bank Q3 Review: Slippages Contained; Covid-19 Buffers Remain Unused, Says Dolat Capital
A bank employee walks through the lobby of an HDFC Bank Ltd. branch in Mumbai, India. (Photographer: Abhijit Bhatlekar/Bloomberg)

HDFC Bank Q3 Review: Slippages Contained; Covid-19 Buffers Remain Unused, Says Dolat Capital

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.

Dolat Capital Report

HDFC Bank Ltd. reported in-line net interest income growth of 15% YoY, though higher pre-provision operating profit growth of 17% YoY benefitted from elevated treasury gains and superior fee lines.

Net interest margin improved by approximately 10 basis points QoQ to 4.2%.

Pro forma slippages and gross non-performing asset remained below expectations at 1.86% (annualised) and 1.38% (stable QoQ) respectively.

Loan restructuring is expected to be at 0.5% of advances, mostly from retail segment, part of which is also included in pro forma NPAs.

Click on the attachment to read the full report:

Dolat Capital HDFC Bank Q3FY21 Result Update.pdf

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