HDFC Bank (HDFCBANK) Q4 97/98 earnings summary

Executive summary

• FY1997-98 net profit rose 55.9% YoY to Rs.63.15 crore; total income was Rs.302.81 crore and net revenues grew 55.7% to Rs.165.26 crore.

• Business expanded across corporate banking, treasury, retail banking and capital-markets infrastructure, with deposits up 71.3% and advances up 46.43%.

Financial highlights

• Total income increased to Rs.302.81 crore from Rs.193.33 crore; interest earned was Rs.240.80 crore and other income Rs.62.01 crore.

• Net profit was Rs.63.15 crore vs Rs.40.50 crore; EPS rose to Rs.3.16 from Rs.2.03.

• Profit before tax was Rs.94.35 crore; proposed dividend was 10%, up from 8% in FY1996-97.

• Deposits reached Rs.2,191.74 crore, up 71.3%; advances rose to Rs.841.98 crore from Rs.575.26 crore.

Outlook and guidance

• Management said product breadth, service levels and proactive response to client needs positioned corporate banking for sustained high growth in selected segments.

• New retail banking software was expected to support retail business plans over the next few years; branch and extension-counter expansion and telephone banking supported franchise growth.