HDFC Bank reported a 100 per cent rise in provisions and contingencies to Rs 3,784.50 crore in the March quarter compared with Rs 1,899.20 crore in the same quarter last year
India’s biggest private lender, HDFC Bank has reported a 15.5 per cent on-year rise in consolidated net profit at Rs 7,280.22 crore for the quarter ended March 31. The bank had posted a net profit of Rs 6,300.81 crore during the corresponding period of last year. The bank said it will not make any further dividend payouts from profit pertaining to 2019-20, as per RBI directives announced on Friday. In order to strengthen the financial system of the country’s financial institutions, RBI directed banks to hold back dividends for FY20 so that they can conserve capital amid uncertainty led by the coronavirus crisis. Accordingly, the board of directors of HDFC Bank, at their meeting held on Saturday, did not propose any final dividend for the year ended March 31, 2020, the bank said in a regulatory filing.
Key figures of HDFC Bank Q4 results
- The consolidated net profit for the year ended March 31, 2020, was Rs 27,254 crore, up 22 per cent, over the year ended March 31, 2019.
- The consolidated total income during the March quarter of 2019-20 increased to Rs 38,287.17 crore, from Rs 33,260.48 crore a year ago, the bank said in a regulatory filing.
- Net interest income for the quarter rose to Rs 15,204 crore from Rs 13,089 crore, led by 21.3 per cent growth in advances and a 24.3 per cent growth in deposits.
- The private bank reported a 100 per cent rise in provisions and contingencies to Rs 3,784.50 crore in March quarter compared with Rs 1,899.20 crore in the same quarter last year.
- Gross non-performing assets (NPA) were at 1.26 per cent of gross advances as on March 31, 2020, as against 1.42 per cent as on December 31, 2019, and 1.36 per cent as on March 31, 2019. Net non-performing assets were at 0.36 per cent of net advances as on March 31, 2020.
- The Bank held floating provisions of Rs 1,451 crore and contingent provisions of ₹ 2,996 crores as on March 31, 2020.
- According to RBI guidelines relating to COVID-19 regulatory package, the Bank would be granting a moratorium of three months on the payment of all instalments and/or interest, as applicable, falling due between March 1, 2020, and May 31, 2020, to all eligible borrowers, it said in a press release.