HDFC Bank, India's largest private-sector lender by assets, reported a profit after tax of ₹191 billion for the quarter ended 30 June 2026, with standalone earnings per share of ₹12.4, the bank said in its Q1 FY27 earnings presentation published on Saturday. Return on assets came in at 1.85% and return on equity at 13.8%.
Average deposits climbed to ₹30,115 billion, an increase of 13.3% from a year earlier. Net interest margin was reported at 3.26% for the quarter, lower than in earlier periods, with margins remaining under pressure.
MARGIN PRESSURE, COST DISCIPLINE
The 3.26% net interest margin shows that margin pressure persisted in the quarter, with profit after tax rising only 5% year on year. CASA deposits rose 11.2% year on year, while gross advances grew 15.4%.
The core cost-to-income ratio was 39.2%.
Provisions fell 79% year on year to ₹30.6 billion, while profit before tax rose 17.9%.
ASSET QUALITY AND CAPITAL BUFFERS
Gross non-performing assets were 1.17% of gross advances, up from 1.15% at the end of March but down from 1.40% a year earlier, while net NPAs rose to 0.41% from 0.38%. The credit cost ratio was 0.40%.
The total capital adequacy ratio was 19.6%, against a regulatory requirement of 11.9%, and Common Equity Tier 1 was 17.4%.
Net interest income rose 6.7% year on year to ₹335 billion.
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