Home / Business / Money / HDFC Bank Q2 profit may jump 21% to Rs 2,398 cr: Poll

HDFC Bank Q2 profit may jump 21% to Rs 2,398 cr: Poll

Net interest income, the difference between interest earned and interest expended, may grow by 18 percent to Rs 5,275 crore in the quarter ended September 2014 from Rs 4,476.5 crore in corresponding quarter of last fiscal.

HDFC Bank Q2 profit may jump 21% to Rs 2,398 cr: Poll

Private sector lender  HDFC Bank is expected to report a 21 percent growth in profit after tax of Rs 2,398 crore in second quarter of current financial year 2014-15 compared to Rs 1,982 crore in same quarter last year, according to the average of estimates of analysts polled by CNBC-TV18. The bank will announce its earnings on Tuesday.

Net interest income, the difference between interest earned and interest expended, may grow by 18 percent to Rs 5,275 crore in the quarter ended September 2014 from Rs 4,476.5 crore in corresponding quarter of last fiscal.

Loan growth is estimated at more than 18-20 percent year-on-year, which is similar to Q1 growth of 20.7 percent led by corporates while retail growth was modest at 14 percent.

Other factors to watch out for are commercial vehicle loans portfolio (that was declined 21 percent in Q1FY15 amongst retail loans) and fee income.

The poll expects non-performing liability accretion to normalise during the quarter compared to Q1FY15 levels as estimates suggest that commercial vehicle/commercial equipment asset quality may stabilise.

In Q1FY15, asset quality disappointed marginally as gross non-performing liability was up 12 percent Q-o-Q and net non-performing liability rose by 23 percent (on low base).

Fee income is expected to remain weak. In Q1, other income was down 4 percent Y-o-Y to Rs 1,850.6 crore and fee income grew 9.5 percent Y-o-Y to Rs 1,406.5 crore.

Net interest margin is expected to be stable at 4.4 percent on sequential basis.

Leave a Reply

x

Check Also

Rupee recovers 6 paise to 67.01

The rupee today recovered some lost ground by rising 6 paise to ...

Notes ban to have positive impact on economy

NEW DELHI: The government’s demonetisation move has led to widespread adoption of ...