HDFC Bank Q4 Results: HDFC Bank declares Rs 19 dividend, check out other details

Banking giant HDFC Bank reported its results for the January - March 2023 period. While net revenues witnessed a yearly rise of 20.3% to Rs 34,552.8 crores, net profit increased by 20.6% from the previous year to Rs 12,594.5 crores.

What was the dividend declared by HDFC Bank? What was the HDFC Bank net interest income? What was the amount of loans and deposits for HDFC Bank in the January - March period? Let’s try and decode!

HDFC Bank Q4 Results: Key Insights 

• Revenue: Net revenue increased by 20.3% yearly to Rs 34,552.80 crores for the Jan - Mar period on the back of healthy growth in loans and deposits.
• Profits: The lender reported a net profit of Rs 12,594.5 crores led by rise in net interest income and fall in gross NPAs
• Return on Assets (RoA): HDFC Bank reported an RoA of 2.2% for the Jan - Mar period, up 5% from the prior year.  .

The HDFC Bank share price has been on the rise in recent times. Notably, the HDFC Bank share price is up 4% in 2023 so far and 21.5% in the past year. 

HDFC Bank Advances: 

• HDFC Bank’s advances for the Jan - Mar ‘23 period came in at Rs 16,00,586 crores. This represents a growth of 16.9% from the previous year. An overall rise in the credit growth in the economy and the bank’s leading position in loan disbursal contributed to this rise.
  
   
• Bulk of advances were to the corporate sector with Business Banking advances at Rs 2,53,452 crores and Emerging Corporate advances at Rs 1,83,151 crores.
   
• Notably, among retail loans, Personal Loans came in at Rs 1,71,676 crores while Auto loans came in at Rs 1,17,429 crores.

HDFC Bank Deposits:  

The lender reported a 20.8% yearly rise in deposits to Rs 18,83,395 crores for the Jan - Mar ‘23 period.

Time deposits formed the bulk of it at Rs 10,47,406 crores while CASA deposits came in at Rs 8,35,989 crores.

HDFC Bank Net Interest Income:  

The lender’s net interest income for the Q4FY23 came in at Rs 24,940 crores, up 23% from the previous year. The consistent rise in interest rates led to this rise.

HDFC Bank Profits:  

Net profits for HDFC Bank at the end of the March ‘23 quarter was Rs 12,594.50 crores, up 20.6% from the previous year. Notably, a healthy rise in net interest income and a fall in gross NPAs assisted the growth in profits.

HDFC Bank dividend: 

The company proposed a dividend of Rs 19 per share. 

HDFC Bank Branch Network & Customer Base:

HDFC Bank’s branch network at the end of the Jan - Mar ‘23 period stood at 7,821 branches, up 23.3% from the previous year.

Moreover, the customer base also witnessed a yearly increase of 17% to 83 million.

HDFC Bank share price: Analyst view

Kotak Institutional Equities: The top domestic brokerage has a “Buy” rating on the stock with a price target of Rs 1,925. The firm has highlighted the lender's long term investment plans and healthy advances growth as tailwinds for the HDFC Bank share price.

Bernstein: The renowned brokerage has an “Outperform” rating on the stock with a price target of Rs 2,200. The firm has cited the lender's healthy loans and deposit growth as strengths that will drive its share price in the near term.

UBS: The global brokerage has a “Buy” rating on the stock with a price target of Rs 1,900. The firm has cited that its near-term merger with HDFC as a tailwind that can drive the HDFC Bank share price higher.

ICICI Securities: The top domestic brokerage has a “Buy” rating on the stock with a price target of Rs 1,990. Comfortable valuation levels and strong fundamentals have been cited as key drivers of growth by the firm for the HDFC Bank share price.

Sharekhan: The renowned domestic brokerage has a “Buy” rating on the stock with a price target of Rs 1,920. The firm highlighted the bank's execution prowess and strong asset quality as two main drivers that can result in the HDFC Bank share price appreciation.

Motilal Oswal: The leading domestic brokerage has a “Buy” rating on the stock with a price target of Rs 1,950. Margins expansion and the eventual merger with parent HDFC has been cited as drivers of share price growth in the near term.

This is not investment advice. Investments in the securities market are subject to market risk, read all the related documents carefully before investing. Past performance is not indicative of future returns.