21 July 2025 : India’s largest private lender HDFC Bank’s shares were in the green on Monday, July 21, after reporting a 12 percent jump in net profit for the quarter ended June 30, 2025. Brokerages rushed to hike their target prices on the bank, expecting stronger growth in the second half of the current fiscal year.
HDFC Bank posted a standalone net profit of Rs 18,155 crore for the quarter ended June 2025, marking a 12 percent rise from Rs 16,175 crore in the same period last year. Interest income for the quarter came in at Rs 77,470 crore, reflecting a 6 percent increase over the previous year.
Net interest income (NII) for the quarter stood at Rs 31,438 crore, up 5.4 percent year-on-year. The bank’s core net interest margin (NIM) slipped to 3.35 percent from 3.46 percent in the March quarter, as deposit costs rose faster than yields on assets.
Total operating expenses grew 4.9 percent year-on-year to Rs 17,434 crore, including Rs 6,158 crore in employee costs and Rs 11,276 crore under other overheads.
At 9.16 a.m., shares of the bank were quoting Rs 1,993.2, higher by 1.8 percent on the NSE.
Summary:
HDFC Bank posts 12% profit growth in Q1 despite NIM decline. Announces bonus shares and dividend. Analysts remain optimistic, recommending buy with higher target prices.