HDFC BANK LTD - QUARETRLY RESULTS - Q2 FY 13 (ENDING SEP,2012) - NPT UP 30%; NIM 4.2%; CASA 46%; NET NPA 0.2% - IMPRESSIVE

HDFC BANK LIMITED

DEEPAK PAREKH

QUARETRLY RESULTS

Q2 FY 13 ENDING SEP,2012

HDFC BANK has produced another TOP OF THE INDUSTRY RESULTS for the quarter ending Sep,2012.

The quarterly results for Q2 FY 13 are compared below (in the Table) with Q2 FY 12 (the Corresponding Qtr of last Year).

Likewise, the half yearly performance up to spe,2012 is compared with the corresponding half year of last year.

There is a 30% Net Profit Growth in both cases.

The Provisions are coming down  and the NPAs are very healthy.

(FIGURES IN Mlns)

HDFC BANK	Q2 FY 13	Q2FY12	CHANGE	HY.E.0912	HYE 0911	CHANGE	FY12
Net Intt Income	37,317	29,445	26.70%	72,157	57,925	24.60%	122,968
Fees&Commsns	12,091	9,879	22.40%	23,525	19,106	23.10%	42,755
FX& DERIVATIVES	2,359	2,180	8.20%	5,507	4,480	22.90%	11,388
Profit/LOSS ON INVESTMNTS	-999	58		-285	-269	6.10%	-1,706
Net Revenues	50,768	41,562	22.20%	100,904	81,242	24.20%	175,405
Operating Costs	25,055	20,304	23.40%	49,381	39,650	24.50%	85,901
Provisions	2,929	3,660	-20.00%	7,802	8,098	-3.60%	14,372
Tax	7,184	5,604	28.20%	13,947	10,651	30.90%	23,461
Profit after tax	15,600	11,994	30.10%	29,774	22,843	30.30%	51,671

FINANCIAL HIGH LIGHTS

Q/E SEP 2012

·         Net profit up by 30.1% to Rs.15.6 Bn

• Gross advances increased by 22.8% to Rs. 2,332 Bn

• Deposits up by 18.8% to  Rs.2,741 Bn

• CASA ratio at 45.9%

• Net Interest Margin at 4.2%

• Cost-to-income ratio at 49.4%

• Gross NPA / gross advances at 0.9%

• Net NPA / net advances at 0.2%

• Capital adequacy ratio (CAR)  - total 17.0% of which tier I at 11.4%

For FY 2012

Ø  Specific Provision cover at 82% of NPAs, total provision coverage over 100%.

Ø  Restructured loans formed 0.4% of Bank’s Gross advances as on 31,Mar,2012.

Ø  CAGR Over last several years is a healthy 33%.

Ø  ROA in FY 2012 was 1.77%’ and EPS in Fy 2012 was 22.1

Detailed Results Table

HDFC Bank Ltd.
	Sep'12	%DIF  QoQ	Jun'12	%DIF YoY	Sep'11
INCOME:
Net Sales	8,524.65	6.46	8,007.42	26.90	6,717.70
Other Income	1,345.12	-12.05	1,529.49	11.01	1,211.68
Total Income	9,869.77	3.49	9,536.91	24.47	7,929.38
EXPENSES
Employee Expenses	962.93	-3.05	993.19	16.99	823.1
Other Expenses	1,542.57	7.17	1,439.41	27.77	1,207.29
Provisions Made	292.89	-39.90	487.31	-19.99	366.05
TOTAL EXPENSES	2,798.39	-4.16	2,919.91	16.77	2,396.44
Operating Profit	5,726.26	12.56	5,087.51	32.51	4,321.26
EBITDA	7,071.38	6.87	6,617.00	27.81	5,532.94
EBIT	7,364.27	3.66	7,104.31	24.84	5,898.99
Interest	4,792.96	5.96	4,523.37	27.03	3,773.19
EBT	2,571.31	-0.37	2,580.94	20.96	2,125.80
Taxes	718.44	6.24	676.24	28.20	560.4
Profit	1,852.87	-2.72	1,904.70	18.36	1,565.40
Other Adjustments	-292.89	-39.90	-487.31	-19.99	-366.05
Reported PAT	1,559.98	10.06	1,417.39	30.07	1,199.35
KEY ITEMS
Equity capital	472.34	0.25	471.18	1.00	467.66
Capital Adequacy Ratio	17	9.68	15.5	3.03	16.5
EPS (Rs.)	6.61	9.98	6.01	28.85	5.13

HDFC Bank’s loan book  has shown a healthy growth of  23% YoY to Rs 2.32 lakh crore, compared to 17% credit growth projected by RBI.

The capital Adequacy Ratio is very healthy at 17% indicating sufficient liquidity for future.

EPS stands at Rs. 6.61 compared to Rs.6.01 in previous quarter and Rs.5.13 in corresponding Quarter.

Thus, overall, HDFC Bank has produced an excellent set of Results for Q2 FY 13 ending Sep,2012.

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