HDFC Bank Q3 results: From HDB Financial IPO to distribution network - 5 important things to know from management call

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₹16,372 crore in the third quarter of FY24. The bank’s net interest income (NII) in Q3FY24 rose 24% YoY to ₹28,470 crore. The bank recorded loan growth of 4% QoQ while deposits grew 2%.

Its Liquidity Cover Ratio (LCR) fell to 109.8% from 120% QoQ due to a drawdown of liquid assets to fund loan growth. The bank’s loan-to-deposit ratio (LDR) rose from 108.4% to 110.5% QoQ. The LDR for standalone HDFC Bank was 89% in Q3FY24 versus 85% in Q1FY24.

Read here: HDFC Bank Q3 results: Net profit jumps 33% at ₹16,372 crore – 8 key highlights HDFC Bank’s asset quality improved and its Chief Financial Officer Srinivasan Vaidyanathan said that the bank has historically seen an improvement in its asset quality. HDFC Bank’s management, in its post earnings call, stressed on key points, including deposits, margins, distribution network and listing of subsidiary HDB Financial Services. Here are five highlights from the management’s call: HDFC Bank’s CFO Srinivasan Vaidyanathan noted that the bank has time till September 2025 to list HDB Financial Services, the non-bank finance subsidiary of the private lender.

Vaidyanathan said preparatory work on the IPO will begin shortly. HDFC Bank holds a 94.7% stake in HDB Financial Services Ltd which is a non-deposit-taking NBFC offering a wide range of loans and asset finance products. For the quarter ended December 31, 2023, HDB Financial Services’ net revenue was at ₹23.5 billion as against ₹22.3 billion for the quarter ended December 31, 2022, a growth of 5.0%.