HDFC provisions up, no sign of unease

Results in line with estimates, provisions on watch

With most banks and non-banking financial companies meeting Street estimates for December quarter (Q3) results, Housing Development Finance Corporation (HDFC) was no exception. On a standalone basis, net interest income at Rs 2,770 crore and net profit at Rs 1,701 crore met estimates comfortably, up 17 and 12 per cent year on year, respectively. Like its peers, HDFC, too, saw its net interest margin rise to 4.1 per cent in Q3 from 3.9 per cent a year ago, as cost of funds continued to remain benign.
 
What's assuring is that the loan book as on December 31 grew 16