In a bonanza for investors, the Board of HDFC Bank Ltd, India’s largest private sector lender, has declared a special interim dividend of ₹5 per equity share of ₹1.

The Board has also approved issuance of bonus shares in the proportion of 1:1, i.e. 1 bonus equity share of ₹1 each for every 1 fully paid-up equity share held as on the record date.

This was on account of the bank selling shares of nearly ₹9,130 crore in it’s subsidiary HDB Financial Services Ltd through a listing as per RBI norms. 

The bank on Saturday (July 19, 2025) reported 12% growth in standalone net profit at ₹18,155 crore as compared with ₹16,175 crore in the year ago period. 

Net interest income (interest earned less interest expended) for the quarter grew by 5.4% YoY to ₹31,438 crore. 

During the quarter the bank’s provisions increased neatly 5 folds to ₹14,442 crore from ₹2,602 crore a year ago. This included ₹9,000 crore of floating provision and ₹1,700 crore of contingency buffer which indicates potential asset quality pressure. 

Gross non-performing assets increased 12% to ₹37,041 crore from ₹33,026 crore a year ago.

Net non-performing assets increased 29% to ₹12,276 crore from ₹9,508 crore in the same period last year.

The bank’s consolidated net profit dropped to ₹16,258 crore from ₹16,475 crore despite the nearly ₹9,130 crore gains from HDB Financial Services share sale. 

The bank’ Capital Adequacy Ratio (CAR) as per Basel III guidelines was at 19.9% as on June 30, 2025 (19.3% as on June 30, 2024) as against a regulatory requirement of 11.9%. 

Gross advances were at ₹26,53200 crore an increase of 6.7% over June 30, 2024. 

Advances under management grew by 8.0% over June 30, 2024. Retail loans grew by 8.1%, small and mid-market enterprises loans grew by 17.1% and corporate and other wholesale loans grew by 1.7%. 

The bank’s average deposits were ₹26,57600 crore for the June 2025 quarter, a growth of 16.4% over the year ago period.