HDFC Bank : Financial Results for Quarter ended June 30, 2021

HDFC BANK LIMITED

CIN : L65920MH1994PLC080618

Sandoz House, Shivsagar Estate, Dr. Annie Besant Road, Worli, Mumbai 400 018.

Website: https://www.hdfcbank.com, Tel.: [phone], Fax: [phone]

	UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER ENDED JUNE 30, 2021	( in lac)
			Quarter ended		Year ended
	Particulars	30.06.2021	31.03.2021	30.06.2020	31.03.2021
	Unaudited	Audited	Unaudited	Audited
			(Refer note 4)
1	Interest Earned (a)+(b)+(c)+(d)	3048297	3042359	3037797	12085823
	a) Interest / discount on advances / bills	2359273	2381163	2403737	9483454
	b) Income on investments	649314	616633	559764	2321427
	c) Interest on balances with Reserve Bank of India and other inter bank funds	30283	31487	62648	234125
	d) Others	9427	13076	11648	46817
2	Other Income	628850	759391	407531	2520489
3	Total Income (1)+(2)	3677147	3801750	3445328	14606312
4	Interest Expended	1347401	1330344	1471255	5597866
5	Operating Expenses (i)+(ii)	816043	918129	691146	3272262
	i) Employees cost	276558	267885	251344	1036479
	ii) Other operating expenses	539485	650244	439802	2235783
6	Total Expenditure (4)+(5) (excluding Provisions and Contingencies)	2163444	2248473	2162401	8870128
7	Operating Profit before Provisions and Contingencies (3)-(6)	1513703	1553277	1282927	5736184
8	Provisions (other than tax) and Contingencies	483084	469370	389152	1570285
9	Exceptional Items	-	-	-	-
10	Profit / (Loss) from Ordinary Activities before tax (7)-(8)-(9)	1030619	1083907	893775	4165899
11	Tax Expense	257655	265256	227913	1054246
12	Net Profit / (Loss) from Ordinary Activities after tax (10)-(11)	772964	818651	665862	3111653
13	Extraordinary items (net of tax expense)	-	-	-	-
14	Net Profit / (Loss) for the period (12)-(13)	772964	818651	665862	3111653
15	Paid up equity share capital (Face Value of 1/- each)	55267	55128	54903	55128
16	Reserves excluding revaluation reserves				20316953
17	Analytical Ratios
	(i) Percentage of shares held by Government of India	Nil	Nil	Nil	Nil
	(ii) Capital Adequacy Ratio	19.1%	18.8%	18.9%	18.8%
	(iii) Earnings per share (EPS) ( ) (Face Value of 1/- each)	14.0	14.9	12.1	56.6
	(a) Basic EPS before & after extraordinary items (net of tax expense) - not
	annualized
	(b) Diluted EPS before & after extraordinary items (net of tax expense) - not	13.9	14.7	12.1	56.3
	annualized
	(iv) NPA Ratios				1508600
	(a) Gross NPAs	1709851	1508600	1377346
	(b) Net NPAs	548580	455482	327996	455482
	(c) % of Gross NPAs to Gross Advances	1.47%	1.32%	1.36%	1.32%
	(d) % of Net NPAs to Net Advances	0.48%	0.40%	0.33%	0.40%
	(v) Return on assets (average) - not annualized	0.45%	0.50%	0.44%	1.97%

Regd. Office : HDFC Bank Ltd., HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai - 400013.

Segment information in accordance with the Accounting Standard 17 - Segment Reporting of the operating segments of the Bank is as under:

				( in lac)
		Quarter ended		Year ended
Particulars	30.06.2021	31.03.2021	30.06.2020	31.03.2021
Unaudited	Audited	Unaudited	Audited
		(Refer note 4)

• Segment Revenue

a)	Treasury	864433	803574	800126	3233767
b)	Retail Banking	2697467	2761274	2710162	11021021
c)	Wholesale Banking	1440699	1472812	1418359	5715430
d)	Other Banking Operations	486344	554367	389683	1993753
e)	Unallocated	-	3082	-	3082
	Total	5488943	5595109	5318330	21967053
	Less: Inter Segment Revenue	1811796	1793359	1873002	7360741
	Income from Operations	3677147	3801750	3445328	14606312

• Segment Results

a)	Treasury	270743	243236	250517	903050
b)	Retail Banking	109036	419239	222005	1057480
c)	Wholesale Banking	535672	446455	364445	1743754
d)	Other Banking Operations	152858	11539	97376	620714
e)	Unallocated	(37690)	(36562)	(40568)	(159099)
	Total Profit Before Tax	1030619	1083907	893775	4165899

• Segment Assets

a)	Treasury	50692647	51964174	46153925	51964174
b)	Retail Banking	52627989	52199722	46899518	52199722
c)	Wholesale Banking	64890618	62873157	54979292	62873157
d)	Other Banking Operations	6270073	6711608	5664473	6711608
e)	Unallocated	912781	938391	813123	938391
	Total	175394108	174687052	154510331	174687052

• Segment Liabilities

a)	Treasury	7646558	7627660	7798899	7627660
b)	Retail Banking	113146545	109621782	96820706	109621782
c)	Wholesale Banking	30827241	33811531	29166649	33811531
d)	Other Banking Operations	491736	585765	523185	585765
e)	Unallocated	2033234	2668233	2405425	2668233
	Total	154145314	154314971	136714864	154314971

• Capital Employed
  (Segment Assets - Segment Liabilities)

a)	Treasury	43046089	44336514	38355026	44336514
b)	Retail Banking	(60518556)	(57422060)	(49921188)	(57422060)
c)	Wholesale Banking	34063377	29061626	25812643	29061626
d)	Other Banking Operations	5778337	6125843	5141288	6125843
e)	Unallocated	(1120453)	(1729842)	(1592302)	(1729842)
	Total	21248794	20372081	17795467	20372081

Business Segments have been identified and reported taking into account the target customer profile, the nature of products and services, the differing risks and returns, the organisation structure, the internal business reporting system and the guidelines prescribed by the RBI.

Notes :

• Statement of Assets and Liabilities as at June 30, 2021 is given below:

			( in lac)
Particulars	As at	As at	As at
30.06.2021	30.06.2020	31.03.2021
CAPITAL AND LIABILITIES	Unaudited	Unaudited	Audited
55267	54903	55128
Capital
Reserves and Surplus	21193527	17740564	20316953
Deposits	134582934	118938729	133506022
Borrowings	13127502	11638900	13548733
Other Liabilities and Provisions	6434878	6137235	7260216
Total	175394108	154510331	174687052
ASSETS	10462511	9662537	9734073
Cash and Balances with Reserve Bank of India
Balances with Banks and Money at Call and Short notice	1535458	1301793	2212966
Investments	43613164	37935041	44372829
Advances	114765164	100329886	113283663
Fixed Assets	500538	446411	490932
Other Assets	4517273	4834663	4592589
Total	175394108	154510331	174687052

• The above financial results have been approved by the Board of Directors at its meeting held on July 17, 2021. The financial results for the quarter ended June 30, 2021 have been subjected to a "Limited Review" by the statutory auditors of the Bank. The report thereon is unmodified.

• The Bank has applied its significant accounting policies in the preparation of these financial results that are consistent with those followed in the annual financial statements for the year ended March 31, 2021.

• The figures for the quarter ended March 31, 2021 are the balancing figures between audited figures in respect of the financial year 2020-21 and the published year to date figures upto December 31, 2020.

• The Board of Directors at its meeting held on June 18, 2021 recommended a dividend of 6.50 per equity share of face value of 1 each out of the net profits for the year ended March 31, 2021, subject to approval of the shareholders of the Bank at its ensuing Annual General Meeting. Effect of the proposed dividend has been reckoned in determining capital funds in the computation of capital adequacy ratio as at June 30, 2021.

• During the quarter ended June 30, 2021, the Bank allotted 1,39,42,616 shares pursuant to the exercise of options under the approved employee stock option schemes.

• Consequent to the outbreak of the COVID-19 pandemic, the Indian government announced a lockdown in March 2020. Subsequently, the national lockdown was lifted by the government, but regional lockdowns continue to be implemented in areas with a significant number of COVID-19 cases. During the quarter ended June 30, 2021, India experienced a "second wave" of COVID-19, including a significant surge of COVID-19 cases following the discovery of mutant coronavirus variants in the country.
  The impact of COVID-19, including changes in customer behaviour and pandemic fears, as well as restrictions on business and individual activities, has led to significant volatility in global and Indian financial markets and a significant decrease in global and local economic activities. The disruptions following the outbreak, have led to a decrease in loan originations, the sale of third party products, the use of credit and debit cards by customers and the efficiency in collection efforts. This may lead to a continued rise in the number of customer defaults and consequently an increase in provisions thereagainst. The extent to which the COVID-19 pandemic will continue to impact the Bank's results will depend on ongoing as well as future developments, which are highly uncertain, including, among other things, any new information concerning the severity of the COVID-19 pandemic, and any action to contain its spread or mitigate its impact whether government-mandated or elected by us.

• Details of resolution plan implemented under the Resolution Framework for COVID-19-related Stress as per RBI circular dated August 6, 2020 (Resolution Framework 1.0) are given below:

							in crore except number of accounts
	(A) Number	of (B) Exposure to (C)	Of	(B), (D)	Additional (E) Increase	in
	accounts	where accounts	aggregate	funding	provisions		on
	resolution plan mentioned at (A) amount of	debt sanctioned,	if account	of	the
Type of Borrower	has	been before		that		was any,	including implementation
implemented	implementation	converted	into between	of the resolution
	under		this of the plan	other securities invocation	of
	window						the	plan	and
							implementation
Personal Loans		287507	5457.35			-		-	545.74
Corporate persons		1510	1735.30			-		-	318.62
Of which, MSMEs			64	27.08			-		-	2.71
Others		47090	607.92			-		-	60.79
Total		336107	7800.57			-		-	925.15

There were 33 borrower accounts having an aggregate exposure of 10.64 crore to the Bank, where resolution plans had been implemented and now modified under RBI's Resolution Framework 2.0 dated May 5, 2021.

• Other income relates to income (including commission) from non-fund based banking activities, fees, earnings from foreign exchange and derivative transactions, profit and loss (including revaluation) from investments, dividends from subsidiaries and recoveries from accounts previously written off.

1. Figures of the previous periods have been regrouped / reclassified wherever necessary to conform to current period's classification.
2. 10 lac = 1 million
   10 million = 1 crore

SASHIDHAR	Digitally signed by SASHIDHAR
JAGDISHAN	JAGDISHAN
Date: 2021.07.17 12:26:25 +05'30'

Place : Mumbai	Sashidhar Jagdishan
Date : July 17, 2021	Managing Director

HDFC BANK LIMITED

CIN : L65920MH1994PLC080618

Sandoz House, Shivsagar Estate, Dr. Annie Besant Road, Worli, Mumbai 400 018.

Website: https://www.hdfcbank.com, Tel.: [phone], Fax: [phone]

	UNAUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER ENDED JUNE 30, 2021	in lacs)
			Quarter ended		Year ended
	Particulars	30.06.2021	31.03.2021	30.06.2020	31.03.2021
	Unaudited	Audited	Unaudited	Audited
			(Refer note 4)
1	Interest Earned (a)+(b)+(c)+(d)	3225376	3260692	3235161	12855240
	a) Interest / discount on advances / bills	2528096	2589859	2597800	10229913
	b) Income on investments	647645	618183	559941	2321162
	c) Interest on balances with Reserve Bank of India and other inter bank funds	32066	33169	64158	241430
	d) Others	17569	19481	13262	62735
2	Other Income	667987	830257	434698	2733288
3	Total Income (1)+(2)	3893363	4090949	3669859	15588528
4	Interest Expended	1421850	1408324	1560849	5924759
5	Operating Expenses (i)+(ii)	870689	980792	740608	3500126
	i) Employees cost	364374	357054	330100	1367667
	ii) Other operating expenses	506315	623738	410508	2132459
6	Total Expenditure (4)+(5) (excluding Provisions and Contingencies)	2292539	2389116	2301457	9424885
7	Operating Profit before Provisions and Contingencies (3)-(6)	1600824	1701833	1368402	6163643
8	Provisions (Other than tax) and Contingencies	536633	575260	434451	1884029
9	Exceptional Items	-	-	-	-
10	Profit / (Loss) from ordinary activities before tax (7)-(8)-(9)	1064191	1126573	933951	4279614
11	Tax Expense	270163	282140	239863	1093937
12	Net Profit / (Loss) from Ordinary Activities after tax (10)-(11)	794028	844433	694088	3185677
13	Extraordinary items (net of tax expense)	-	-	-	-
14	Net Profit / (Loss) for the period (12)-(13)	794028	844433	694088	3185677
15	Less: Share of minority shareholders	1819	1055	1364	2356
16	Consolidated Net Profit / (Loss) for the period (14)-(15)	792209	843378	692724	3183321
17	Paid up equity share capital (Face Value of 1/- each)	55267	55128	54903	55128
18	Reserves excluding revaluation reserves				20925890
19	Analytical Ratios	Nil	Nil	Nil	Nil
	(i) Percentage of shares held by Government of India
	(ii) Earnings per share (EPS) ( ) (Face Value of 1/- each)
	(a) Basic EPS before & after extraordinary items (net of tax expense) - not	14.4	15.3	12.6	57.9
	annualized
	(b) Diluted EPS before & after extraordinary items (net of tax expense) - not	14.3	15.2	12.6	57.6
	annualized

Regd. Office : HDFC Bank Ltd., HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai - 400013.

Consolidated Segment information in accordance with the Accounting Standard 17 - Segment Reporting of the operating segments of the Bank is as under:

				in lacs)
		Quarter ended		Year ended
Particulars	30.06.2021	31.03.2021	30.06.2020	31.03.2021
Unaudited	Audited	Unaudited	Audited
		(Refer note 4)

• Segment Revenue

a)	Treasury	864433	803574	800126	3233767
b)	Retail Banking	2697467	2761274	2710162	11021021
c)	Wholesale Banking	1440699	1472812	1418359	5715430
d)	Other Banking Operations	702560	843566	614214	2975969
e)	Unallocated	-	3082	-	3082
	Total	5705159	5884308	5542861	22949269
	Less: Inter Segment Revenue	1811796	1793359	1873002	7360741
	Income from Operations	3893363	4090949	3669859	15588528

• Segment Results

a)	Treasury	270743	243236	250517	903050
b)	Retail Banking	109036	419239	222005	1057480
c)	Wholesale Banking	535672	446455	364445	1743754
d)	Other Banking Operations	186430	54205	137552	734429
e)	Unallocated	(37690)	(36562)	(40568)	(159099)
	Total Profit Before Tax and Minority Interest	1064191	1126573	933951	4279614

• Segment Assets

a)	Treasury	50692647	51964174	46153925	51964174
b)	Retail Banking	52627989	52199722	46899518	52199722
c)	Wholesale Banking	64890618	62873157	54979292	62873157
d)	Other Banking Operations	11406952	11975219	10779377	11975219
e)	Unallocated	912781	938391	813123	938391
	Total	180530987	179950663	159625235	179950663

• Segment Liabilities

a)	Treasury	7646558	7627660	7798899	7627660
b)	Retail Banking	113146545	109621782	96820706	109621782
c)	Wholesale Banking	30827241	33811531	29166649	33811531
d)	Other Banking Operations	4935981	5177164	5014782	5177164
e)	Unallocated	2033234	2668232	2405425	2668232
	Total	158589559	158906369	141206461	158906369

• Capital Employed

	(Segment Assets - Segment Liabilities)
a)	Treasury	43046089	44336514	38355026	44336514
b)	Retail Banking	(60518556)	(57422060)	(49921188)	(57422060)
c)	Wholesale Banking	34063377	29061626	25812643	29061626
d)	Other Banking Operations	6470971	6798055	5764595	6798055
e)	Unallocated	(1120453)	(1729841)	(1592302)	(1729841)
	Total	21941428	21044294	18418774	21044294

Business Segments have been identified and reported taking into account the target customer profile, the nature of products and services, the differing risks and returns, the organisation structure, the internal business reporting system and the guidelines prescribed by the RBI.