India’s private sector banks announced a mixed set of numbers amid COVID-19 pandemic, with most banks reported fall in the profit amid increasing provisions. HDFC bank stands out in the overall performance.
Let’s find out how Indian private lenders performed in Q4 2020.
- HDFC Bank:
HDFC Bank is one of India’s leading private banks and most valued Bank.
On a standalone basis, the bank’s net profit grew by 17.7 per cent to Rs 6,927.69 crore from Rs 5,885.12 crore.
Income rose to Rs 35,917.63 crore as against Rs 31,204.46 crore earlier.
The gross non-performing assets as a percentage of gross advances as on March 31, 2020 improved to 1.26 per cent from 1.36 per cent at end of March 2019.
The net NPAs were at 0.36 per cent (Rs 3,542.36 crore), slightly lower from 0.39 per cent (Rs 3,214.52 crore).
The provisions for bad loans and contingencies for March quarter of FY20 were raised to Rs 4,216.50 crore on a consolidated basis.
How market reacted to Q4 result?
Next day, The scrip jumped 5.54 per cent to Rs 960.85 on the BSE. It was the top gainer on the 30-share BSE benchmark Sensex.
What Bank said about COVID-19 impact?
Impact of COVID-19 on the bank’s results will depend on future developments. At present there is high uncertaintaity regarding the severity of the disease, action to contain its spread or mitigate its impact.
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