Just a day after its quarterly results were posted, the shares of HDFC Bank fell over 7 percent as the markets opened on Wednesday. The top private lender reported stagnant margins for a second consecutive quarter in October-December.
At 9:15 am on January 17, HDFC Bank share prices were recorded at ₹1583.85 apiece, falling seven percent from its previous closing rate. On Tuesday, HDFC shared had closed at ₹1,678.95.
Not only on the Indian stock market, but the US-listed shares of HDFC Bank fell 6.71 per cent on the New York Stock Exchange (NYSE) after the Q3 results, caused by muted margins in the Q3 earnings report.
HDFC Bank reported a standalone net profit of 163.73 billion rupees ($1.97 billion) for the quarter ended December, beating analysts’ expectations of 156.51 billion rupees, per LSEG data. However, NIM remained stagnant at 3.4%, compared with the previous quarter.
The net interest income for HDFC Bank in the December 2023 quarter rose to ₹28,471 from ₹27,385 crore in the previous quarter. Meanwhile, the gross non-performing assets (NPAs) were reported at 1.26 per cent in Q3 of FY24, marginally up from last quarter’s reports.
