HDFC Bank Limited’s gross advances grew 16.3% year over year by Sept. 30, 2026, while its net interest margin narrowed in the September quarter, accompanying a 4.7% rise in standalone profit.
HDFC Bank reported standalone profit after tax of ₹195.1 billion for the July-September quarter. The bank’s net interest income rose 9.7% from a year earlier to ₹346.2 billion. Fees and commissions rose to ₹96.9 billion from ₹88.4 billion a year earlier, while treasury trading gains fell to ₹7.8 billion from ₹23.9 billion. The bank said profit after tax excluding treasury trading gains grew approximately 12.6%. The results follow EconoTimes’ earlier coverage of the bank’s profit and trading gains.
Net interest margin on total assets was 3.16%, down from 3.26% in the June quarter. Gross advances reached ₹32,195 billion. Small and mid-market enterprise loans grew 23.5% year over year, and retail loans rose 11.7%.
The gross nonperforming asset ratio fell to 1.11% of gross advances, from 1.17% in June and 1.24% a year earlier. The amount of gross nonperforming assets was ₹358.1 billion, slightly below June’s level but above ₹342.9 billion a year earlier. The lower ratio therefore did not mean the amount of such assets had fallen year over year.
Time deposits rose 22.8% year over year to ₹22,755 billion. Current and savings accounts accounted for 31.6% of deposits, compared with 33.9% a year earlier. In its September 2025 results, the bank linked an earlier decline in core net interest margin to the timing of rate changes on assets and deposits.
The Reserve Bank of India raised its policy repo rate by 25 basis points to 5.50% on Oct. 7. Its Monetary Policy Committee said current conditions meant it would not consider rate cuts in the near term. The central bank scheduled the committee’s minutes for Oct. 21 and its next policy meeting for Dec. 2-4.
