Preview: HDFC Bank to announce Q1 results, bonus share, dividend on July 19

HDFC Bank Q1 results preview: Apart from HDFC Bank's Q1 results, Street will keep an eye on the bank's bonus share announcement. Notably, HDFC Bank will issue bonus shares for the first time ever

HDFC Bank Q1 results preview: With continued focus on better deposit mobilisation, HDFC Bank is expected to report steady quarterly earnings during the June 2025 quarter, say analysts.

 

HDFC Bank Q1 results date, time:

According to HDFC Bank’s stock exchange filing, a meeting of the Board of Directors of HDFC Bank is scheduled to be held on Saturday, July 19, 2025, to inter-alia consider and approve the unaudited standalone and consolidated financial results of the Bank for the quarter ending June 30, 2025 (Q1FY26).

 

"The Bank will host an earnings call with analysts and investors at 6:00 PM (IST) on July 19, 2025, wherein the senior management of the Bank will discuss the financial results with the participants," it said in another filing.

 

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HDFC Bank bonus shares, dividend announcement:

Apart from HDFC Bank's Q1 results, Street will keep an eye on the bank’s bonus share announcement. Notably, HDFC Bank will issue bonus shares for the first time ever.

 

"Along with the financial results, HDFC Bank’s Board would also consider the declaration of a Special Interim Dividend on the equity shares of the Bank for the financial year 2025-26 (FY26); and the issue of bonus shares," it said on July 16, 2025.   

HDFC Bank Q1 results: Key monitorables

According to analysts, the Street would eye the guidance for credit growth, net interest margin (NIM) outlook, and the impact of priority sector lending (PSL) norms on FY26 earnings growth.

 

HDFC Bank Q1 results expectations:

 

Motilal Oswal Financial Services

Analysts at Motilal Oswal Financial Services expect HDFC Bank to report a steady quarter with mid-to-high single digit growth in net interest income (NII) and net profit.

 

As per the brokerage's estimates, HDFC Bank could report a NII of ₹31,900 crore in Q1FY26, up 6.9 per cent year-on-year (Y-o-Y) from ₹29,837.1-crore NII seen in Q1FY25.

 

Including the other income of ₹12,160 crore, HDFC Bank's total revenue may come in at ₹44,060 crore for the June quarter.

 

However, a rise in operating expenses and provisions, both yearly and sequentially, is expected to cap net profit growth at 5.9 per cent Y-o-Y to ₹17,130 crore, MOFSL said.

 

HDFC Bank reported a net profit of ₹16,174.8 crore in Q1FY25 and ₹17,616.1 crore in Q4FY25.

 

On the asset quality front, the brokerage expects HDFC Bank to see stable gross non-performing asset (GNPA) and NNPA ratio of 1.3 per cent and 0.4 per cent, respectively. Provision coverage ratio (PCR) may rise slightly to 68.4 per cent from 67.9 per cent Q-o-Q.

 

"HDFC Bank's cost ratio is expected to remain under control in Q1FY26. We expect margins to witness moderation, while asset quality is likely to remain stable. Loan to deposit ratio (LDR) may improve," it said.

 

Kotak Institutional Equities

Analysts at KIE project a 5.3 per cent Y-o-Y rise in NII to ₹31,408.4 crore, assuming slower than industry average on loan growth. Sequentially, it would be a dip of 2.1 per cent from ₹32,065.8 crore.

 

The bank, it said, is making strong efforts to improve its LDR, which has improved to nearly 95 per cent.

 

We, however, are building NIM to decline due to faster re-pricing of loans in Q1FY26, it added.

 

Earlier this month, HDFC Bank said its gross advances rose 6.7 per cent Y-o-Y and 0.4 per cent Q-o-Q to ₹26.53 trillion at the end of Q1FY26. Similarly, deposits increased 16.2 per cent Y-o-Y and 1.8 per cent Q-o-Q to ₹27.64 trillion.

 

HDFC Bank, however, may see a 10.3 per cent Y-o-Y rise in operating profit to ₹26,339.8 crore, as against ₹23,884.6-crore PPoP seen in Q1FY25. On a quarterly basis, the operating profit could stay steady (down 0.7 per cent) compared to ₹26,536.7 crore operating profit.

 

Assuming loan loss provisions at ₹2,714.1 crore (up 4.3 per cent Y-o-Y/down 15 per cent Q-o-Q), Kotak Equities expects HDFC Bank's Q1FY26 net profit to come at ₹17,837.4 crore.

 

This would be a growth of 10.3 per cent Y-o-Y and 1.3 per cent Q-o-Q.

 

The brokerage expects gross NPA ratio to be stable with slippages at 1.3 per cent of loans.

 

Emkay Global Financial Services

Strong deposit growth, coupled with rate cut and higher agri-slippages could lead to margin compression, keeping earnings growth in check, according to analysts at Emkay Global.

 

They peg NII at ₹31,904.6 crore (up 7 per cent Y-o-Y), PPoP at ₹26,222.7 crore (up 9.8 per cent), net profit at ₹17,535.9 crore (up 8.4 per cent), and NIM at 3.6 per cent (down 4bps).

 

Nuvama Institutional Equities

This brokerage has shared conservative estimates for HDFC Bank Q1 results. It expects the lender’s NII to rise 5.9 per cent Y-o-Y/down 1.5 per cent Q-o-Q to ₹31,580 crore.

 

Further, factoring in total income of ₹43,430 crore (up 7.2 per cent Y-o-Y) and opex of ₹17,570 crore (up 5.7 per cent Y-o-Y), Nuvama projects HDFC Bank's pre-provision operating profit at ₹25,870 crore, higher by 8.3 per cent Y-o-Y/down 2.5 per cent Q-o-Q.

 

With provisions rising 23 per cent Y-o-Y to ₹3,200 crore, the brokerage caps net profit growth at 5.8 per cent Y-o-Y to ₹17,110 crore.

 

HDFC Bank's gross NPAs, in absolute terms, may rise 12.4 per cent Y-o-Y, while slippages could increase by 5 per cent, it said. NIM is seen sliding to 3.41 per cent.