In the Q-2 of July to Septmeber, this year, the net profit of HDFC Bank climbed 44% to Rs 528 crore as against Rs 368 crore in the same period last year.  

For the very first time, the consolidation results following its merger with Centurion Bank of Punjab, completed in May 2008, was announced by HDFC.

Excellent credit growth was witnessed by the bank during this period. However, the pace of loan growth could be affected due to rise in interest rates to a seven-year high and possibility of an economic slowdown.

According to bank's ED Paresh Sukthankar, “I will call it healthy demand but with quite a bit of caution. However, we are well positioned to beat the sector's pace. The bank's net interest income, the difference between interest earned and paid, rose 61% to Rs 1,870 crore. Its net interest margin increased to 4.2% as against 4% in the same period last year. Excluding Centurion the net profit growth would have been 30%.”

The loans of the bank in Q2 saw a growth of slightly over 40%, well off the 79% rise in the April-June period, but ahead of the industry average.

In order to ease the cash crunch and ensure the availability of sufficient funds for lending, RBI last week freed up to Rs 1.45 lakh crore.