net profit improved 34.2 per cent to ₹780 crore in the quarter-ended September 30 2026, as against ₹581 crore in the corresponding quarter of fiscal 2026.
The increase is largely attributed to a 15.6 per cent increase in the net interest income to ₹2,534 crore in the reporting quarter, compared with ₹2192 crore in the corresponding period last fiscal. On a quarter on quarter basis, the NII growth was moderate at just 1 per cent.
The non-banking finance corporation (NBFC) net interest margin (NIM) improved annually but dipped sequentially. The NIM came in at 8.23 per cent, up 28 basis point from 7.95 per cent in second quarter of last fiscal. Sequentially, it dipped 12 basis points from 8.35 per cent.
The company increased its loan book by nearly 11.7 per cent to ₹1.24 lakh crore in the reportin qyarter as against ₹1.11 lakh crore in the year ago period.
The stage one loans , which are low risk, increased 12.4 per cent to ₹1.18 lakh crore. The stage 2 loans , which are underperforming moderately risky lending, increased 3 per cent to ₹2571 crore in the reporting quarter, but was up over 12 per cent sequentially.
The bank’s asset quality improved as, the share of gross advances in Stage 3 NPA reduced to 2.43 per cent in the second quarter of fiscal 2027 as against 2.81 per cent in the year-ago period. Sequentially though, the asset quality worsened as the GNPA increased from 2.34 per cent.
In the board meeting , HDB’s directors declared an interim dividend of ₹2.00 per equity share