HDFC Bank Q2 Results Today: HDFC Shares In Focus Ahead Of Q2 Results

HDFC shares remained in focus on Monday as the country's largest private sector lender is all set to declare its earnings for the second quarter of FY24 today. HDFC shareholders are keenly waiting to know the quarterly performance of the lender to take a call on their investment in the stock.

This time not only HDFC shareholders but market experts and others from the banking sector will be vigilant on the Q2 results as the quarterly results announced by the banking giant today will be the first quarterly financial result of the lender after it was merged with mortgage lender Housing Development Finance Corporation (HDFC) effective July 1.

At the time of writing this article, the share price of HDFC Bank was seen trading 0.62% lower at Rs 2729.95 per share.

The bank is likely to witness a jump in Q2FY24 net profit but the creation of excess liquidity could impact its net interest margin.

According to according to brokerage firm Prabhudas Lilladher private banks giants could see loan growth of 4.3% quarter-on-quarter (QoQ) and 16.0% Year-On-Year (YoY) compared to ~15% YoY for the system. NII is expected to see a decline of 3.3% QoQ and NIM might drop by 34 basis points (bps) to 4.1%. Provisions are likely to remain stable QoQ at 62ps.

On Friday, HDFC Life Insurance Company posted a consolidated net profit of Rs 378 crore for Q2FY24, up 15% compared to Rs 329 crore in the same quarter last fiscal.

The company's net premium income in Q2FY24 rose 13% to Rs 14,797 crore compared to Rs 13,138 crore in the year-ago period. The Bank Nifty index traded 0.01% higher at 19,752.95 points on Monday ahead of the announcement of Q2 results by HDFC Bank later today. The top gainers on the Bank Nifty today were Bandhan Bank, Axis Bank, Bank of Baroda, IDFC First Bank, and PNB.