HDFC Bank's September quarter net profit rises 16% to Rs 7,703 crore

HDFC Bank on Saturday reported a 16 per cent rise in its consolidated net profit at Rs 7,703 crore for the second quarter ended September 30.

The private sector lender had posted a consolidated net profit of Rs 6,638 crore in the corresponding quarter a year ago.

Total consolidated income during the quarter under review rose to Rs 38,438.47 crore as against Rs 36,130.96 crore in July-September 2019, the bank said in a release.

On asset front, gross non-performing assets (NPAs) of the bank fell to 1.08 per cent of the gross advances as on September 30, 2020, as against 1.38 per cent a year earlier.

In absolute value, gross NPAs or bad loans reduced to Rs 11,304.60 crore from Rs 12,508.15 crore.

Likewise, net NPAs too came down to 0.17 per cent (Rs 1,756.08 crore) from 0.42 per cent (Rs 3,790.95 crore).

However, its provisioning for bad loans and contingencies rose to Rs 3,703.50 crore for the second quarter of FY21 as against Rs 2,700.68 crore parked aside for during the same period a year ago.

Consolidated advances grew by 14.9 per cent to Rs 10.89 trillion at the end of September 2020 from Rs 9.47 crore a year earlier, HDFC Bank said.

Meanwhile, the lender informed that its board of directors at the meeting held on Saturday approved appointment of Sashidhar Jagdishan as an additional director and also managing director and chief executive officer of the bank.

His appointment is subject to the approval of the shareholders of the bank. Jagdishan's appointment will be for a period of three years starting October 27, 2020, as approved by the Reserve Bank of India vide its email dated August 3, 2020, it said.