HDFC Bank Ltd. (NYSE: HDB) reported unaudited financial results for the quarter ended June 30, 2026, showing continued profit growth despite a challenging year-ago comparison. Standalone profit after tax reached ₹190.6 billion, up 5% year over year, while consolidated profit after tax came in at ₹192.4 billion.
Standalone net revenue was ₹463.6 billion, compared with ₹531.7 billion in the same quarter last year. However, the prior-year figure benefited from ₹91.3 billion in divestment gains, making the comparison less straightforward. Net interest income increased 6.7% to ₹335.3 billion, while net interest margin stood at 3.26% on total assets and 3.40% on interest-earning assets.
Deposits and Lending Continue to Expand
HDFC Bank’s balance sheet continued to grow during the quarter. Total deposits reached ₹31,708 billion, while gross advances stood at ₹30,608 billion. The bank’s total balance sheet size reached ₹43,975 billion, reflecting the scale of its expanding lending and deposit operations.
Deposit growth was supported by a 14.7% year-over-year increase in end-of-period deposits, while gross advances rose 15.4% from the same period last year. This continued expansion suggests that the bank maintained strong demand across its lending and banking businesses.
Asset Quality Remains Under Control
A key focus for investors remains the bank’s asset quality. Gross non-performing assets stood at 1.17% of gross advances, while net NPAs were 0.41%. Excluding agricultural NPAs, the gross NPA ratio was 0.91%.
The bank also reported a total Basel III capital adequacy ratio of 19.6%, significantly above the 11.9% regulatory requirement. This provides HDFC Bank with a substantial capital buffer to support future growth.
Subsidiaries Add to Group Performance
HDFC Bank’s major subsidiaries, including HDB Financial Services, HDFC Life, HDFC ERGO, HDFC AMC, and HDFC Securities, all reported profits during the quarter, supporting consolidated results. The filing also stated that the trading window for designated persons and their immediate relatives would reopen on July 21, 2026.
