Mumbai, Jan 17, KNT: HDFC Bank Limited on Saturday reported an 11.5 percent year-on-year growth in profit after tax for the quarter ended December 31, 2025, reflecting steady performance across key financial parameters despite a challenging operating environment.
The bank’s profit after tax for the quarter stood at ₹186.5 billion, while profit before tax was recorded at ₹242.6 billion. Net revenue for the quarter grew by 8.9 percent to ₹458.7 billion, compared to ₹421.1 billion in the corresponding quarter of the previous year.
Net interest income rose 6.4 percent year-on-year to ₹326.2 billion, with core net interest margin at 3.35 percent on total assets. Other income for the quarter amounted to ₹132.5 billion, led primarily by growth in fees and commissions, which increased to ₹92.3 billion.
Operating expenses for the quarter were ₹187.7 billion, while the core cost-to-income ratio stood at 39.2 percent. Provisions and contingencies were reported at ₹28.4 billion, with the total credit cost ratio, excluding release of contingent provisions, at 0.55 percent.
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As of December 31, 2025, the bank’s total balance sheet size expanded to ₹40,890 billion, compared to ₹37,590 billion a year earlier. Average deposits during the quarter grew by 12.2 percent to ₹27,524 billion, while total end-of-period deposits stood at ₹28,601 billion. CASA deposits accounted for 33.6 percent of total deposits.
Gross advances increased by 11.9 percent year-on-year to ₹28,446 billion, driven by growth in retail, small and mid-market enterprise, and corporate lending. Overseas advances accounted for 1.7 percent of total advances.
For the nine months ended December 31, 2025, the bank reported a profit after tax of ₹554.5 billion, marking an 11.5 percent increase over the corresponding period of the previous year.
On the asset quality front, gross non-performing assets stood at 1.24 percent of gross advances, while net NPAs were at 0.42 percent. The capital adequacy ratio under Basel III norms remained strong at 19.9 percent, well above the regulatory requirement.
HDFC Bank’s distribution network expanded to 9,616 branches and 21,176 ATMs across 4,170 cities and towns, with half of its branches located in semi-urban and rural areas.
On a consolidated basis, the bank reported a profit after tax of ₹198.1 billion for the December quarter, while consolidated profit for the nine-month period stood at ₹556.8 billion. [KNT]
