HDFC Bank has posted a net profit of Rs 40.5 crore at the end of the financial year 1996-97 as against Rs 20.28 crore at the end of March 1996. The board of directors have recommended a maiden dividend of 8 per cent. HDFC Bank which has a tie up with Nat West Markets has just completed its second full year of operations.
The total income of the bank stood at Rs 193.3 crore for the year 1996-97 as against Rs 128.1 crore during 1995-96. The pre-tax profit of the bank amounted to Rs 58.03 crore as against Rs 28.2 crore in 1995-96, an increase of over 105 per cent. The bank has provided Rs 17.5 crore on the tax front. During 1996-97 the banks custodial services business increased with assets under custody growing by over Rs 1,000 crore.
There was an increase of 85 per cent increase in the quantum of deposits from Rs 685.7 crore at the end of 1995-96 to Rs 1,279 crore as on March 1997. On the other hand, advances went up by a 56 per cent during the year, from Rs 368.6 crore in March 1996 to Rs 575.3 crore.
This is in contrast to the fact that the growth in advances for the banking systems as a whole was in the region of 10 per cent during the same period The banks credit deposit ratio has come down to 45 per cent from 53.76 per cent at the end of March 1996.