But then there would be no down days for the Indian Economy or markets if they were to just follow in the financial figs of HDFC Bank. The Bank stuck to a defining growth rate for itself and thus for its bigger brethren in the Public Sector and in ICICI Bank and SBI. Gross Income grew to close to $1.75 bln at INR 70.98 bln and Cost Income Ratio a stupendous 48.3% both banking on the historically high NIMS which even as they came lower stayed at 4.2% after giving away increases in Deposit rates and attacking /creating demand after large increases in lending rates higher than the industyry norm and increased at aa higher pace, likely for the risk weighted basket

With Net NPAs at 0.2% a release of Rs 1.12 bln in profits from provisions gladdened many an investors' heart, even as the bank investments bled 600 mln over the last quarter to lose INR 400 mln largely in its fixed income portfolio. With income higher by 17% yoy, and Operating costs (on gross income) also higher by 17% Net Profits still zoomed 33% to reach a run rate of $1 bln for profits for the year. The last quarter Gross income of INR 67.24 bln compares well even as QoQ growth is restricted to less than 4% with given industry conditions.

The Bank's fee income including comml banking fees has grown to $300 mln for the quarter, Net Interest income at INR 28.5 bln, 18.6% higher than june 2010

The press conference is on right now  

 

 

Posted via email from The investment blog on Post