HDB Financial posts 2% YoY decline in Q1 net profit

16 Jul 2025 , 01:04 PM

HDB Financial Services shares slipped as much as 3.7% to hit their new low of ₹810.30 on the BSE today after the company’s results announcement. The business logged a 2% decline in its net profit for the first quarter of fiscal year 2026, reaching ₹568 Crore. In the previous corresponding quarter, the business posted a net profit of ₹582 Crore.

Though the company has registered a decline in net profit, it reflected strong operational performance. The business logged a 18% year-on-year growth in its Net Interest Income (NII) to ₹2,092 Crore. This was backed by robust loan growth and an overall growth in interest-earning assets. The net interest margin also improved modestly, reaching 7.7% during the quarter.

The business posted that net income for the quarter registered a 14% y-o-y growth to ₹2,726 Crore. Pre-provisioning profit gains ~17% y-o-y growth at ₹1,402 Crore.

As per the company, total gross loans came in at ₹1.09 Lakh Crore as of June 30, 2025. This is 14% y-o-y higher against ₹95,629 Crore in the year-ago period.

The business posted a 15% growth in its Asset Under Management (AUM) at ₹1.09 Lakh Crore. This indicates substantial credit demand across segments.

At around 12.57 PM, HDB Financial was trading 2.76% lower at ₹818, against the previous close of ₹841.25 on NSE.

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