HDFC Bank Limited
FINANCIAL RESULTS (INDIAN GAAP)FOR THE QUARTER AND YEAR ENDED MARCH 31, 2011
The Board of Directors of HDFC Bank Limited approved the annual audited (Indian GAAP) accounts for the year ended March 31, 2011, at their meeting held in Mumbai on Monday, April 18, 2011.
FINANCIAL RESULTS:
Profit & Loss Account: Quarter ended March 31, 2011
The Bank’s total income for the quarter ended March 31, 2011, was `6,724.3 crores. Net revenues (net interest income plus other income) at `4,095.2 crores for the quarter ended March 31, 2011 increased by 24.0% over `3,302.1 crores for the corresponding quarter ended March 31, 2010. Net interest income (interest earned less interest expended) for the quarter ended March 31, 2011 was `2,839.5 crores as against `2,351.4 crores for the quarter ended March 31, 2010. This was driven by loan growth of 27.1% and a core net interest margin for the quarter of 4.2%.
Other income (non-interest revenue) for the quarter ended March 31, 2011 was `1,255.8 crores up 32.1% over that in the corresponding quarter ended March 31, 2010. The main contributor to other income for the quarter was fees & commissions of `1,000.6 crores, up by 23.2% over `812.5 crores in the corresponding quarter ended March 31, 2010. The other major component of other income was foreign exchange & derivatives revenue of `245.4 crores as against `180.1 crores for the corresponding quarter of the previous year. The Bank earned a profit of `8.6 crores on revaluation / sale of investments for the quarter ended March 31, 2011 as against a loss of `47.3 crores in the quarter ended March 31, 2010.
Operating expenses for the quarter were `1,998.4 crores, an increase of 24.3% over `1,607.8 crores during the corresponding quarter of the previous year. The cost-to-income ratio for the quarter was stable at 48.8% as against 48.7% for the corresponding quarter ended March 31, 2010. Provisions and contingencies were `431.3 crores (including specific loan loss and floating provisions of `330.1 crores) for the quarter ended March 31, 2011 as against `439.9 crores (including specific loan loss and floating provisions of `322.8 crores) for the corresponding quarter ended March 31, 2010. After providing `550.8 crores for taxation, the
Bank earned a Net Profit of `1,114.7 crores, an increase of 33.2% over the quarter ended March 31, 2010.
Profit & Loss Account: Year ended March 31, 2011
For the year ended March 31, 2011, the Bank earned total income of `24,263.4 crores. Net revenues for the year ended March 31, 2011 were `14,878.3 crores, up by 20.3% over `12,369.5 crores for the year ended March 31, 2010. The Bank’s net profit for year ended March 31, 2011 was `3,926.4 crores, up 33.2%, over the year ended March 31, 2010. Consolidated net profit for the Bank increased by 32.9% to `3,992.5 crores for the year ended March 31, 2011.
Balance Sheet: As of March 31, 2011
The Bank’s total balance sheet size increased by 24.7% from `222,459 crores as of March 31, 2010 to `277,353 crores as of March 31, 2011. Total net advances as of March 31, 2011 were `159,983 crores, an increase of 27.1% over March 31, 2010. Total deposits were at `208,586 crores, an increase of 24.6% over March 31, 2010. Savings account deposits grew 27.2% over the previous year to reach `63,448 crores, while current account deposits at `46,460 crores, registered a growth of 24.8% over the same period. Adjusting current account deposits for one-offs at year end the core CASA ratio was at 51% of total deposits as at March 31, 2011.
Capital Adequacy:
The Bank’s total Capital Adequacy Ratio (CAR) as at March 31, 2011 (computed as per Basel II guidelines) stood at 16.2% as against 17.4% as of March 31, 2010 and against the regulatory minimum of 9.0%. Tier-I CAR was 12.2% as of March 31, 2011. During the year 74.8 lac shares were allotted by the Bank on the exercise of options granted earlier under various employee stock option plans. As a result, equity share capital increased by `7.5 crores and reserves (share premium) by `820.7 crores.
DIVIDEND
The Board of Directors recommended an enhanced dividend of `16.50 per share for the year ended March 31, 2011, as against `12.0 per share for the previous year. This would be subject to approval by the shareholders at the next annual general meeting.
NETWORK
As of March 31, 2011, the Bank’s distribution network was at 1,986 branches and 5,471 ATMs in 996 cities as against 1,725 branches and 4,232 ATMs in 779 cities as of March 31, 2010. The Bank’s total customer base was 21.9 million as of March 31, 2011.
ASSET QUALITY
Asset quality continued to remain healthy with gross non-performing assets as on March 31, 2011 at 1.1% of gross advances as against 1.4% at the end of the previous year. The ratio of net non-performing assets to net advances as of March 31, 2011 was at 0.2%, down from 0.3% as at March 31, 2010. The Bank’s provisioning policies for specific loan loss provisions remained higher than regulatory requirements. The NPA coverage ratio based on specific provisions (not including write-offs, technical or otherwise) was at 82.5% as on March 31, 2011 while that on March 31, 2010 was 74.8%. Total restructured loans (including applications received and under process for restructuring) were at 0.4% of gross advances of which 0.1% were restructured loans classified as NPAs as on March 31, 2011.
SUBDIVISION (SPLIT) OF THE BANK’S EQUITY SHARES
The Board of Directors considered and approved the sub-division (split) of one equity share of the Bank having a nominal value of `10 each into five equity shares of nominal value of `2 each. The record date for the same shall be determined subsequently. The sub-division of shares will be subject to approval of the shareholders and any other statutory and regulatory approvals, as applicable.
Note:`= Indian Rupees1 crore = 10 millionAll figures and ratios are in accordance with Indian GAAP.
For further information, please contact:
Atul Malikram
9827092823
Atul Malikram
9827092823
