HDFC Bank Logs 5% Rise in Profit on Margin Pressure

HDFC Bank reported a 5% rise in net profit, weighed by margin pressure as both loan yields and funding costs moved adversely, tempering net interest income growth. Gross advances grew 15.4% to about Rs 30.60 lakh crore, driven by 22.3% growth in business banking and 18.6% in corporate loans, while retail loans rose 7.2%. Asset quality improved with gross NPA ratio falling to 1.17% from 1.40%, and deposits grew 13.3% to about Rs 30.11 lakh crore. Separately, the bank said the reappointment of MD and CEO Sashidhar Jagdishan, whose term ends in October, is under review.