HDB Financial Services Limited (HDBFSL) is a non-deposit taking non-banking finance company ('NBFC') offering wide range of loans and asset finance products to individuals, emerging businesses and micro enterprises. As on December 31, 2020, the Bank held 95.1% stake in HDBFSL.
The total loan book was ₹ 57,710 crore as on December 31, 2020 as against ₹ 56,748 crore as of December 31, 2019. During the quarter HDBFSL increased its liquidity buffers, with Liquidity Coverage Ratio now at a healthy 285.5%, well above the regulatory requirement.
For the quarter ended December 31, 2020, HDBFSL's net interest income was at ₹ 1,010.4 crore as against ₹ 995.3 crore for the quarter ended December 31, 2019. Preprovision Operating Profit (PPOP) at ₹ 748.7 crore grew by 7.5% over the corresponding quarter of the previous year and by 9.6% over quarter ended September 30, 2020.
Provisions and contingencies for the quarter were at ₹ 818.8 crore which included general provisions made as a matter of prudence. Profit / (Loss) after tax for the quarter ended December 31, 2020 was ₹ (44.3) crore compared to ₹ 216.7 crore for the quarter ended December 31, 2019. Profit after tax for the nine months ended December 31, 2020 was ₹ 218.3 crore compared to ₹ 695.2 crore for the nine months ended December 31, 2019.
As on December 31, 2020, Gross and Net NPA were 2.7% of gross advances and 1.7% of net advances respectively.
However, if the Company had classified borrower accounts as NPA after August 31, 2020 along with the NBFC recognition methodology for NPAs (proforma approach), the proforma Gross NPA ratio would have been 5.9% as on December 31, 2020, as against 5.1% as on September 30, 2020 and 2.9% as on December 31, 2019. Pending disposal of the case, the Company, as a matter of prudence, has made a general provision in respect of these accounts.
Total CAR was at 19.5% with Tier-I CAR at 13.9%. As on December 31, 2020, HDBFSL had 1,328 branches across 964 cities / towns.
Shares of HDFC Bank Ltd was last trading in BSE at Rs.1467.95 as compared to the previous close of Rs. 1468.05. The total number of shares traded during the day was 236472 in over 8195 trades.
The stock hit an intraday high of Rs. 1474 and intraday low of 1445.5. The net turnover during the day was Rs. 344803524.