HDFC Bank Earnings Summary — Q1 FY2027
HDFC Bank Reports Consolidated Net Profit of ₹19,245 Crore Amid Stable Assets and Insurance Diversification
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 4 consecutive quarters.
- Revenue of ₹90,575 Cr is 3.7% higher year-on-year.
- Revenue has compounded at 6.0% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit of ₹19,245 Cr is 18.4% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 4.0% annualised across the period.
- Operating margin stands at 35.6% in Q1 FY2027.
- Operating margin expanded by 946 bps year-on-year.
- Over the last two years operating margin has contracted by 343 bps.
- PBT margin is 30.0%.
- Expense growth of -9.6% remained below revenue growth of 3.7%.
- Operating profit of ₹32,284 Cr is 41.1% higher year-on-year.
- Operating leverage continues to improve.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 73/100 (Strong) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Stable | 90,575 | 87,183 | 87,067 | 86,994 | 87,372 | 86,779 | 85,040 | 83,002 | 81,546 | 79,434 |
| Expenses | Accelerating | 58,292 | 44,028 | 54,145 | 45,161 | 64,497 | 47,709 | 41,307 | 52,074 | 49,690 | 62,938 |
| Operating Profit | Volatile | 32,284 | 43,155 | 32,922 | 41,833 | 22,875 | 39,070 | 43,733 | 30,928 | 31,857 | 16,495 |
| Operating Margin | Volatile | 35.6% | 49.5% | 37.8% | 48.1% | 26.2% | 45.0% | 51.4% | 37.3% | 39.1% | 20.8% |
| Other Income | Accelerating | 42,535 | 29,737 | 39,860 | 31,567 | 45,683 | 33,489 | 27,154 | 38,455 | 35,450 | 44,958 |
| Interest | Stable | 47,626 | 45,220 | 45,821 | 46,741 | 47,709 | 46,986 | 46,914 | 45,414 | 44,580 | 43,692 |
| Depreciation | Insufficient data | — | — | — | — | — | — | — | — | — | — |
| Profit Before Tax | Improving | 27,193 | 27,672 | 26,961 | 26,659 | 20,850 | 25,573 | 23,973 | 23,968 | 22,727 | 17,761 |
| Tax | Volatile | 6,810 | 6,597 | 6,270 | 6,295 | 3,759 | 6,289 | 5,633 | 5,341 | 5,539 | -251 |
| Net Profit | Stable | 19,245 | 20,351 | 19,807 | 19,611 | 16,258 | 18,835 | 17,657 | 17,826 | 16,475 | 17,622 |
| Net Margin | Stable | 21.3% | 23.3% | 22.8% | 22.5% | 18.6% | 21.7% | 20.8% | 21.5% | 20.2% | 22.2% |
Key Takeaways
- Consolidated Net Profit rose 18.4% YoY to ₹19,245 crore, though declined 5.4% sequentially from the previous quarter.
- Gross Non-Performing Assets (NPA) remained stable at 1.17%, a significant improvement from 1.40% in the same quarter last year.
- Total consolidated assets expanded to ₹49.71 lakh crore, driven by a 20% YoY growth in standalone advances to ₹30.37 lakh crore.
- Insurance segment contributed significantly with ₹18,354 crore in premium income, though segmental results stayed flat at ₹1,750 crore.
- Capital Adequacy Ratio remains robust at 19.57%, well above regulatory requirements for a D-SIB.
- The bank increased its stake in HDFC Life to 50.54% during the quarter through a ₹1,000 crore preferential allotment.
- Floating provisions were lower this quarter compared to the previous year, which had included a one-time ₹9,000 crore provision.
- Retail banking remains the largest segment contributor with results of ₹10,131 crore, showing strong recovery YoY.
Management Guidance
Management focus remains on navigating post-merger liquidity while maintaining a 'Risk Architecture first' approach. The bank continues its branch expansion strategy to capture long-term deposit growth.
Sentiment Shift
Stable
A sequential decline in net profit and slight margin compression are offset by exceptional asset quality and strong YoY bottom-line growth.
Outlook
HDFC Bank is positioned for steady growth as it continues to digest the HDFC Ltd merger. Stable NPAs and high capital adequacy provide a strong buffer against macro volatility.
From the Annual Report (Key Quotes)
“The conclusion of the legal review found Mr. Chakraborty's statement in his resignation letter and its implications were not substantiated.”
“The Bank continues to be committed to corporate governance standards and remains adequately capitalised.”
“The business undertaken at the Dubai (DIFC) Branch is not material to the Bank's operations or its financial position.”
Official Quarterly Documents
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This summary is AI-generated from HDFC Bank's latest quarterly filing and earnings call. For informational purposes only — not investment advice.