Annual Report Highlights FY 13-14 - HDFC BANK

Net Profit increased by 26% compared to previous year and was at 8478 cr. Total Deposits increased by  24% and advances by 26%. CAR was at 16%.  Gross NPA was at 0.98% of the advances.  At the end of FY total branches were at 3403 and ATMs at 11256.  Bank was available  at 2171 towns. Net Interest Margins were steady at 4.4% and RONW at 20%.  POS terminals installed was lower than last year and currently at 2.16 lacs. The debit cards numbers rose to 174 lacs however the credit card numbers came down to 51.4 lacs.  Around 65% or revenue is from interest income folowed by investments at 18% and then income through fees and comissions at 12%.

Subsidiary HDB Financial services is non deposit taking non banking finance company. It had around 275 branches.  It targets customer segment that is underserved by larger commerical banks.  It lends to individual, micro, small and medium enterprises. Total income stood at 1688 cr and the net profit was at 209 cr which is great.

HDFC Securities is a broking company offering financial services as well. Has around 200 branches. Revenue was at 263 cr and net profit at 78 cr. Bank holds 89% in this subsidiary.

Cost to Income ratio was at 45.6%.  Total provision was at 1588cr and earnings per share growth at 24%. Savings deposits grew by 17% and current account by 17.5%.  Proportion of these to total deposits was at 44.8%. Banks market share was at 4.4% and 4.7% in deposits and advances.  Credit Deposit ratio was at 82.5. Bank is focusing growth in semi urban and unbanked areas. Over 80% of new additions are in these areas. Customer base was at  28.9M.

Focus on credit cards was for internal customers with 70% being issued to them. They source the loans for HDFC. They averages sales of around 1000cr per month is done by the company. Bank is authorized to collect direct taxes and excise and they were #2 in terms of total collections.  Wholesale deposits grew by 7% and advances by 33%. Working capital and short ternor loands were the majority of loans. In investment banking they are in top 5 for the rupee corporate loans.  Company has two overseas branches (Bahrain and Hong Kong) and 3 representative offices in Dubai, Abu Dhabi and Kenya.