HDFC Bank, India’s largest private sector lender, reported a 6.7% year-on-year increase in its standalone net profit for the fourth quarter ended March 31, 2025, reaching Rs 17,620 crore compared to Rs 16,510 crore in the same period last year.
The bank’s net interest income (NII) rose by 10.3% to Rs 32,070 crore, up from Rs 29,080 crore a year ago. The net interest margin stood at 3.54% on total assets and 3.73% on interest-earning assets. Average deposits for the quarter increased by 15.8% year-on-year to Rs 25.28 lakh crore, and by 3.1% over the previous quarter.
Average CASA (Current Account Savings Account) deposits stood at Rs 8.29 lakh crore, marking a 5.7% rise from the previous year and a 1.4% increase over December 2024. The bank’s net revenue for the quarter was Rs 44,090 crore, slightly lower than Rs 47,240 crore reported in the same quarter last year, which had included a one-time gain of Rs 7,340 crore from the sale of its stake in HDFC Credila Financial Services Ltd.
On the asset quality front, HDFC Bank’s gross non-performing asset (NPA) ratio improved to 1.33% as of March 31, 2025, down from 1.42% in the previous quarter, though slightly higher than 1.24% recorded a year ago.
The net NPA ratio stood at 0.43%, compared to 0.46% in the December 2024 quarter and 0.33% in March 2024. In absolute terms, gross NPAs were Rs 35,223 crore, showing a decline from Rs 36,019 crore in the previous quarter, but a rise from Rs 31,173 crore a year earlier. Provisions and contingencies for the quarter stood at Rs 3,190 crore, significantly lower than Rs 13,510 crore in the corresponding quarter of the previous year.
The bank earned Rs 12,030 crore in non-interest income during the quarter, which included Rs 8,530 crore from fees and commissions, Rs 1,440 crore from foreign exchange and derivatives, Rs 390 crore from trading and mark-to-market gains, and Rs 1,670 crore from other sources such as recoveries and dividends.
HDFC Bank’s board has proposed a final dividend of Rs 22 per equity share (face value Re 1) for the financial year ending March 31, 2025. Ahead of the results announcement, the bank’s stock closed 1.48% higher at Rs 1,905.8 on the NSE.
As of March-end 2025, the bank had expanded its distribution network to 9,455 branches and 21,139 ATMs across 4,150 cities and towns, compared to 8,738 branches and 20,938 ATMs a year earlier. It also had 15,399 business correspondents, mostly affiliated with Common Service Centres (CSCs). The total number of employees stood at 2,14,521, marginally up from 2,13,527 a year ago.
