HDFC Bank at new high

The market continues to remain happy with HDFC Bank. The stock price hit a new 52-week high today at Rs.1136 as the euphoria over its very good Q4FY16 continues to keep the price buoyant.

The Bank ended Q4FY16 on a good note. On the back of very good growth in Net Interest Income (NII), which rose 24% (YoY) at Rs.7453 crore, the Bank recorded a healthy 20% jump in net profit at Rs.3374 crore.

In terms of asset quality, Gross NPA was at 0.94 v/s 0.97 (QoQ) while Net NPA was at 0.28% v/s 0.29%. Given these extremely bad times for most banks, this is very good asset quality management. Provisions rose 15% (YoY) to Rs.662 crore. It's restructured loans stood at 0.1% of gross advances.

In terms of loan distribution, retail remains the main fray, growing 30% (QoQ) while corporate rose 25%. The Bank ended FY16 with a 20% rise in net profit at Rs.12,296 crore on a 22% growth in net revenue at Rs.38,343 crore.

 For the full year ending March 2016, the bank’s net profit was at Rs 12,296.2 crore, up 20.4 percent while net revenues (net interest income plus other income) grew 22.1 percent at Rs 38,343.2 crore.