HDFC Bank has become the first among the 29 banks in terms of rise in income from interest. The bank more than doubled its interest income to Rs 293 crore, resulting in an increase of 76 per cent in net profit. UTI Bank followed with a surge of 72 per cent in interest income at Rs 379 crore.
All the other banks, with the sole exception of the private sector City Union Bank, managed to increase the interest income for the quarter ended September 30, a study conducted by Business Standard revealed.
The aggregate interest income of 29 banks rose by 17.3 per cent to Rs 15,223 crore while net profit increased by 43.6 per cent to Rs 1,392. The bottomline was backed by a modest increase of 17.6 per cent in operating expenses at Rs 3,897 crore. The increase in bottomline could be attributed also to a mere 10.7-per cent increase in interest outgo at Rs 10,488 crore.
ICICI Bank's interest earned was much higher than the interest paid. The banks