Markets Eyeing HDFC Bank Shares: Released Q2FY25 Business Update

On October 04, 2024, HDFC Bank released its business update for Q2 FY25, which turned investor eyes on HDFC Bank shares.

As of September 30, 2024, the Bank’s advances under management totalled ₹26,335 billion, marking an 8.0% increase from ₹24,374 billion a year earlier and a 2.3% rise from ₹25,750 billion as of June 30, 2024. In this quarter, retail loans increased by approximately ₹338 billion, commercial and rural banking loans grew by around ₹380 billion, while corporate and wholesale loans decreased by ₹133 billion compared to June 30, 2024.

Gross advances reached approximately ₹25,190 billion as of September 30, 2024, reflecting a 7.0% increase from ₹23,546 billion a year prior. During this quarter, the Bank securitized/assigned loans worth ₹192 billion, bringing the year-to-date total to ₹246 billion as part of a strategic initiative.

Deposits stood at ₹25,000 billion as of September 30, 2024, representing a 15.1% increase from ₹21,729 billion a year ago and a 5.1% rise from ₹23,791 billion as of June 30, 2024. CASA deposits amounted to ₹8,835 billion, up 8.0% from ₹8,177 billion a year earlier, and 2.3% higher than ₹8,636 billion as of June 30, 2024. Time deposits increased to ₹16,165 billion, showing a significant 19.3% growth from ₹13,552 billion a year ago and a 6.7% rise from ₹15,155 billion as of June 30, 2024, indicating a shift in customer preference toward time deposits during this interest rate cycle.

On average, the Bank’s advances under management were ₹25,630 billion for the September 2024 quarter, a 10.2% increase from ₹23,266 billion in the same quarter last year and a 1.2% rise from ₹25,327 billion in the June 2024 quarter. Average deposits reached ₹23,532 billion, marking a 15.4% increase from ₹20,385 billion year-over-year and a 3.1% increase from ₹22,831 billion compared to the previous quarter. Average CASA deposits were ₹8,082 billion for the September 2024 quarter, an increase of 7.3% from ₹7,535 billion a year ago, but a slight decrease of 0.3% from ₹8,106 billion in the June 2024 quarter.

The average liquidity coverage ratio for the quarter was approximately 127%.

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