HDFC Bank Limited (HDB) 6-K Current report (foreign)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16 under the

Securities Exchange Act of 1934

For the month of April, 2020

Commission File Number 001-15216

HDFC BANK LIMITED

(Translation of registrant’s name into English)

HDFC Bank House, Senapati Bapat Marg,

Lower Parel, Mumbai. 400 013, India

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F ☒ Form 40-F ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): Yes ☐ No ☒

Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): Yes ☐ No ☒

Note:Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant’s “home country”), or under the rules of the home country exchange on which the registrant’s securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant’s security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934. Yes ☐ No ☒

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):

82-_Not Applicable______________.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

		HDFC BANK LIMITED
		(Registrant)
Date: April 20, 2020	By	IsI Santosh Haldankar
	Name: Santosh Haldankar
	Title: Senior Vice President - Legal & Company Secretary

EXHIBIT INDEX

The following documents (bearing the exhibit number listed below) are furnished herewith and are made a part of this Report pursuant to the General Instructions for Form 6-K.

Exhibit I

Description

Communication dated April 18, 2020 addressed to The New York Stock Exchange, 11, Wall Street, New York, NY 10005, United States of America (USA) intimating about Audited Financial Results for the last quarter and year ended March 31, 2020 alongwith Audited Consolidated accounts for the year ending March 31, 2020 duly approved by the Board of Directors at its meeting held on April 18, 2020.

Exhibit I

April 18, 2020

New York Stock Exchange

11, Wall Street,

New York,

NY 10005

USA

Dear Sirs,

Re: Outcome of Board Meeting held on April 18, 2020

Please find attached herewith the Audited Financial Results for the last quarter and year ended March 31, 2020 along with the audited consolidated accounts for the year ending March 31, 2020, duly approved by the Board of Directors at its meeting held today. The press release in this regard is also enclosed.

The Statutory Auditors of the Bank, M/s MSKA & Associates, Chartered Accountants, have issued the Audit Report on the Standalone and Consolidated financial results for the quarter and year ended March 31, 2020 with unmodified opinion.

The Reserve Bank of India, vide its circular dated April 17, 2020, has decided that banks shall not make any further dividend payouts from profits pertaining to the financial year ended March 31, 2020 until further instructions, with a view that banks must conserve capital in an environment of heightened uncertainty caused by COVID-19. Accordingly, the Board of Directors of the Bank, at their meeting held today, has not proposed any final dividend for the year ended March 31, 2020.

This is for your information and record.

Thanking you,

Yours faithfully,

For HDFC Bank Limited

Sd/-

Santosh Haldankar

Sr. Vice President (Legal) & Company Secretary

 

HDFC BANK LIMITED
CIN : L65920MH1994PLC080618
Sandoz House, Shivsagar Estate, Dr. Annie Besant Road, Worli, Mumbai 400 018.
Website: https://www.hdfcbank.com, Tel.: 022- 6652 1000, Fax: 022- 2496 0739
AUDITED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED MARCH 31, 2020
												(₹ in lacs)
		Quarter ended							Year ended
			31.03.2020		31.12.2019		31.03.2019			31.03.2020			31.03.2019
	Particulars		Audited (Refer note 5)		Unaudited		Audited (Refer note 5)			Audited			Audited
1	Interest Earned (a)+(b)+(c)+(d)		2988506		2936972		2633325			11481265			9897205
	a) Interest / discount on advances / bills		2404458		2342463		2101949			9178788			7754419
	b) Income on Investments		509070		520314		504692			2063332			1999746
	c) Interest on balances with Reserve Bank of India and  other inter bank funds		62902		60829		11150			182893			63570
	d) Others		12076		13366		15534			56252			79470
2	Other Income		603257		666928		487121			2326082			1762587
3	Total Income (1)+(2)		3591763		3603900		3120446			13807347			11659792
4	Interest Expended		1468100		1519682		1324376			5862640			5072883
5	Operating Expenses (i)+(ii)		827781		789677		711710			3069752			2611937
	i) Employees cost		249826		245496		207440			952567			776176
	ii) Other operating expenses		577955		544181		504270			2117185			1835761
6	Total Expenditure (4)+(5) (excluding Provisions and Contingencies)		2295881		2309359		2036086			8932392			7684820
7	Operating Profit before Provisions and Contingencies (3)-(6)		1295882		1294541		1084360			4874955			3974972
8	Provisions (other than tax) and Contingencies		378449		304356		188922			1214239			755008
9	Exceptional Items		—		—		—			—			—
10	Profit / (Loss) from Ordinary Activities before tax (7)-(8)-(9)		917433		990185		895438			3660716			3219964
11	Tax  Expense		224664		248537		306926			1034984			1112150
12	Net Profit / (Loss) from Ordinary Activities after tax (10)-(11)		692769		741648		588512			2625732			2107814
13	Extraordinary items (net of tax expense)		—		—		—			—			—
14	Net Profit / (Loss) for the period (12)-(13)		692769		741648		588512			2625732			2107814
15	Paid up equity share capital (Face Value of ₹ 1/- each)		54833		54770		54466			54833			54466
16	Reserves excluding revaluation reserves									17043769			14866166
17	Analytical Ratios
	(i)  Percentage of shares held by Government of India		Nil		Nil		Nil			Nil			Nil
	(ii) Capital Adequacy Ratio		18.5	%	18.5	%	17.1	%		18.5	%		17.1	%
	(iii) Earnings per share (EPS) (₹) (Face Value of ₹ 1/- each)
	(a) Basic EPS before & after extraordinary items (net of tax expense) - not annualized		12.6		13.5		10.8			48.0			39.3
	(b) Diluted EPS before & after extraordinary items (net of tax expense) - not annualized		12.6		13.4		10.7			47.7			39.0
	(iv) NPA Ratios
	(a) Gross NPAs		1264997		1342725		1122416			1264997			1122416
	(b) Net NPAs		354236		446835		321452			354236			321452
	(c) % of Gross NPAs to Gross Advances		1.26	%	1.42	%	1.36	%		1.26	%		1.36	%
	(d) % of Net NPAs to Net Advances		0.36	%	0.48	%	0.39	%		0.36	%		0.39	%
	(v) Return on assets (average) - not annualized		0.49	%	0.55	%	0.51	%		2.01	%		1.90	%

Regd. Office : HDFC Bank Ltd., HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai - 400013.

 

Segment information in accordance with the Accounting Standard 17 - Segment Reporting of the operating segments of the Bank is as under:
														(₹ in lacs)
		Quarter ended									Year ended
		31.03.2020			31.12.2019			31.03.2019			31.03.2020			31.03.2019
Particulars		Audited (Refer note 5)			Unaudited			Audited (Refer note 5)			Audited			Audited
1	Segment Revenue
a)	Treasury		690738			708374			590094			2655844			2357648
b)	Retail Banking		2821059			2775928			2401535			10799994			8922234
c)	Wholesale Banking		1527601			1576940			1457003			6113445			5456354
d)	Other Banking Operations		504799			521074			424596			1903341			1529943
e)	Unallocated		153			—			—			219			5278
	Total		5544350			5582316			4873228			21472843			18271457
	Less: Inter Segment Revenue		1952587			1978416			1752782			7665496			6611665
	Income from Operations		3591763			3603900			3120446			13807347			11659792
2	Segment Results
a)	Treasury		108230			90373			59218			346277			130576
b)	Retail Banking		266747			318421			317451			1294246			1179627
c)	Wholesale Banking		381348			397927			372483			1412109			1422412
d)	Other Banking Operations		202533			226352			191256			778463			679153
e)	Unallocated		(41425	)		(42888	)		(44970	)		(170379	)		(191804	)
	Total Profit Before Tax		917433			990185			895438			3660716			3219964
3	Segment Assets
a)	Treasury		45724091			37086993			34876621			45724091			34876621
b)	Retail Banking		48427074			47895345			42879092			48427074			42879092
c)	Wholesale Banking		52056701			47693394			40874972			52056701			40874972
d)	Other Banking Operations		6050057			6036452			5085471			6050057			5085471
e)	Unallocated		793204			821378			737915			793204			737915
	Total		153051127			139533562			124454071			153051127			124454071
4	Segment Liabilities
a)	Treasury		10201209			6097321			6143885			10201209			6143885
b)	Retail Banking		90725810			85664751			73229496			90725810			73229496
c)	Wholesale Banking		31762887			28547637			27188713			31762887			27188713
d)	Other Banking Operations		503243			554529			535706			503243			535706
e)	Unallocated		2759376			2310248			2435639			2759376			2435639
	Total		135952525			123174486			109533439			135952525			109533439
5	Capital Employed
	(Segment Assets - Segment Liabilities)
a)	Treasury		35522882			30989672			28732736			35522882			28732736
b)	Retail Banking		(42298736	)		(37769406	)		(30350404	)		(42298736	)		(30350404	)
c)	Wholesale Banking		20293814			19145757			13686259			20293814			13686259
d)	Other Banking Operations		5546814			5481923			4549765			5546814			4549765
e)	Unallocated		(1966172	)		(1488870	)		(1697724	)		(1966172	)		(1697724	)
	Total		17098602			16359076			14920632			17098602			14920632

Business Segments have been identified and reported taking into account the target customer profile, the nature of products and services, the differing risks and returns, the organisation structure, the internal business reporting system and the guidelines prescribed by the RBI.

 

Notes :

1 Statement of Assets and Liabilities as at March 31, 2020 is given below:

			(₹ in lacs)
Particulars	As at 31.03.2020		As at 31.03.2019
CAPITAL AND LIABILITIES	Audited		Audited
Capital		54833		54466
Reserves and Surplus		17043769		14866166
Deposits		114750231		92314093
Borrowings		14462854		11708513
Other Liabilities and Provisions		6739440		5510833
Total		153051127		124454071
ASSETS
Cash and Balances with Reserve Bank of India		7220512		4676362
Balances with Banks and Money at Call and Short notice		1441360		3458401
Investments		39182666		29311607
Advances		99370288		81940122
Fixed Assets		443191		403001
Other Assets		5393110		4664578
Total		153051127		124454071

2 Statement of Cashflow as at March 31, 2020 is given below:

Particulars	As at 31.03.2020			As at 31.03.2019
	Audited			Audited
Cash flows from operating activities
Profit before income tax		3660716			3219964
Adjustments for:
Depreciation on fixed assets		119585			114010
(Profit) / loss on revaluation of investments		70211			1524
Amortisation of premium on held to maturity investments		50141			45346
(Profit) / loss on sale of fixed assets		832			(643	)
Provision / charge for non performing assets		935236			658207
Provision for standard assets and contingencies		305158			115126
Dividend from subsidiaries		(42372	)		(20444	)
		5099507			4133090
Adjustments for:
(Increase) / decrease in investments		(9992161	)		(5138924	)
(Increase) / decrease in advances		(18364046	)		(16764549	)
Increase / (decrease) in deposits		22436137			13437029
(Increase) / decrease in other assets		(718012	)		(868774	)
Increase / (decrease) in other liabilities and provisions		919400			818303
		(619175	)		(4383825	)
Direct taxes paid (net of refunds)		(1049802	)		(1221643	)
Net cash flow used in operating activities		(1668977	)		(5605468	)
Cash flows used in investing activities
Purchase of fixed assets		(154688	)		(155180	)
Proceeds from sale of fixed assets		1824			2124
Dividend from subsidiaries		42372			20444
Net cash flow used in investing activities		(110492	)		(132612	)
Cash flows from financing activities
Proceeds from issue of share capital, net of issue expenses		184868			2579044
Redemption of Tier II capital bonds		—			(287,500	)
Increase / (decrease) in other borrowings		2754341			(314484	)
Dividend paid during the year (including tax on dividend)		(654030	)		(405259	)
Net cash flow from financing activities		2285179			1571801
Effect of exchange fluctuation on translation reserve		21399			9535
Net increase / (decrease) in cash and cash equivalents		527109			(4156744	)
Cash and cash equivalents as at April 1st		8134763			12291507
Cash and cash equivalents as at March 31st		8661872			8134763

 

3 The above results have been approved by the Board of Directors at its meeting held on April 18, 2020. The financial results for the quarter and year ended March 31, 2020 have been subjected to an audit by the statutory auditors of the Bank. The report thereon is unmodified. The information presented above is extracted from the audited financial statements. The financial results for the year ended March 31, 2019 were audited by another firm of chartered accountants.

4 The Bank has consistently applied its significant accounting policies in the preparation of its quarterly financial results and its annual financial statements during the years ended March 31, 2020 and March 31, 2019.

5 The figures of the last quarter in each of the financial years are the balancing figures between audited figures in respect of the full financial year and the published year to date figures upto the end of the third quarter of the respective financial year.

6 The Reserve Bank of India, vide its circular dated April 17, 2020, has decided that banks shall not make any further dividend payouts from profits pertaining to the financial year ended March 31, 2020 until further instructions, with a view that banks must conserve capital in an environment of heightened uncertainty caused by COVID-19. Accordingly, the Board of Directors of the Bank, at their meeting held on April 18, 2020, has not proposed any final dividend for the year ended March 31, 2020.

7 The shareholders of the Bank, at its Annual General Meeting held on July 12, 2019 approved the sub-division (split) of one equity share of the Bank from face value of ` 2/- each into two equity shares of face value of ` 1/- each.  All shares and per share information in the financial results reflect the effect of sub-division (split) retrospectively.

8 During the quarter and year ended March 31, 2020, the Bank allotted 62,59,392 and 3,66,73,240 equity shares respectively pursuant to the exercise of options under the approved employee stock option schemes.

9 Other income relates to income (including commission) from non-fund based banking activities, fees, earnings from foreign exchange and derivative transactions, profit and loss (including revaluation) from investments, dividends from subsidiaries and recoveries from accounts previously written off.

10 The SARS-CoV-2 virus responsible for COVID-19 continues to spread across the globe and India, which has contributed to a significant decline and volatility in global and Indian financial markets and a significant decrease in global and local economic activities. On March 11, 2020, the COVID-19 outbreak was declared a global pandemic by the World Health Organization. Numerous governments and companies, including the Bank, have introduced a variety of measures to contain the spread of the virus. On March 24, 2020, the Indian government announced a strict 21-day lockdown which was further extended by 19 days across the country to contain the spread of the virus. The extent to which the COVID-19 pandemic will impact the Bank's results will depend on future developments, which are highly uncertain, including, among other things, any new information concerning the severity of the COVID-19 pandemic and any action to contain its spread or mitigate its impact whether government-mandated or elected by the Bank.

In accordance with the RBI guidelines relating to COVID-19 Regulatory Package dated March 27, 2020 and April 17, 2020, the Bank would be granting a moratorium of three months on the payment of all installments and / or interest, as applicable, falling due between March 1, 2020 and May 31, 2020 to all eligible borrowers classified as Standard, even if overdue, as on February 29, 2020. For all such accounts where the moratorium is granted, the asset classification shall remain stand still during the moratorium period (i.e. the number of days past-due shall exclude the moratorium period for the purposes of asset classification under the Income Recognition, Asset Classification and Provisioning norms).

The Bank holds provisions as at March 31, 2020 against the potential impact of COVID-19 based on the information available at this point in time. The provisions held by the Bank are in excess of the RBI prescribed norms.

11 Other operating expenses include commission paid to sales agents of  ₹ 856.17 crore (previous period: ₹ 697.55 crore) and ₹ 3,154.21 crore (previous year: ₹ 2,805.61 crore) for the quarter and year ended  March 31, 2020 respectively.

12 Figures of the previous periods have been regrouped / reclassified wherever necessary to conform to current period's classification.

13 ₹ 10 lac = ₹ 1 million

 ₹ 10 million = ₹ 1 crore

Place : Mumbai	Aditya Puri
Date  : April 18, 2020	Managing Director

 

HDFC BANK LIMITED

CIN : L65920MH1994PLC080618

Sandoz House, Shivsagar Estate, Dr. Annie Besant Road, Worli, Mumbai 400 018.

Website: https://www.hdfcbank.com, Tel.: 022- 6652 1000, Fax: 022- 2496 0739

AUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED MARCH 31, 2020

							(₹ in lacs)
		Quarter ended			Year ended
		31.03.2020	31.12.2019	31.03.2019		31.03.2020	31.03.2019
	Particulars	Audited (Refer note 5)	Unaudited	Audited (Refer note 5)		Audited	Audited
1	Interest Earned (a)+(b)+(c)+(d)	3179505	3120092	2804505		12218930	10516075
	a) Interest / discount on advances / bills	2591924	2526590	2272760		9907963	8373616
	b) Income on Investments	507557	515536	502759		2057273	1992475
	c) Interest on balances with Reserve Bank of India and other inter bank funds	64128	61925	11928		186877	66062
	d) Others	15896	16041	17058		66817	83922
2	Other Income	649212	712478	521543		2487898	1894705
3	Total Income (1)+(2)	3828717	3832570	3326048		14706828	12410780
4	Interest Expended	1552857	1607327	1406156		6213743	5371269
5	Operating Expenses (i)+(ii)	886024	852535	755210		3303605	2769476
	i) Employees cost	337684	333105	272818		1292013	1045115
	ii) Other operating expenses	548340	519430	482392		2011592	1724361
6	Total Expenditure (4)+(5) (excluding Provisions and Contingencies)	2438881	2459862	2161366		9517348	8140745
7	Operating Profit before Provisions and Contingencies (3)-(6)	1389836	1372708	1164682		5189480	4270035
8	Provisions (Other than tax) and Contingencies	421650	347790	206352		1369994	838218
9	Exceptional Items	—	—	—		—	—
10	Profit / (Loss) from ordinary activities before tax (7)-(8)-(9)	968186	1024918	958330		3819486	3431817
11	Tax  Expense	238515	258922	327278		1089859	1187255
12	Net Profit / (Loss) from Ordinary Activities after tax (10)-(11)	729671	765996	631052		2729627	2244562
13	Extraordinary items (net of tax expense)	—	—	—		—	—
14	Net Profit / (Loss) for the period (12)-(13)	729671	765996	631052		2729627	2244562
15	Less: Share of Profit / (Loss) of minority shareholders	1649	31	971		4231	11318
16	Consolidated Net Profit / (Loss) for the period (14)-(15)	728022	765965	630081		2725396	2233244
17	Paid up equity share capital (Face Value of ₹ 1/- each)	54833	54770	54466		54833	54466
18	Reserves excluding revaluation reserves					17581038	15312800
19	Analytical Ratios
	(i)  Percentage of shares held by Government of India	Nil	Nil	Nil		Nil	Nil
	(ii) Earnings per share (EPS) (₹) (Face Value of ₹ 1/- each)
	(a) Basic EPS before & after extraordinary items (net of tax expense) - not annualized	13.3	14.0	11.6		49.8	41.7
	(b) Diluted  EPS before & after extraordinary items (net of tax expense) - not annualized	13.2	13.9	11.5		49.5	41.3

Regd. Office : HDFC Bank Ltd., HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai - 400013.

Consolidated Segment information in accordance with the Accounting Standard 17 - Segment Reporting of the operating segments of the Bank is as under:

														(₹ in lacs)
		Quarter ended									Year ended
		31.03.2020			31.12.2019			31.03.2019			31.03.2020			31.03.2019
	Particulars	Audited (Refer note 5)			Unaudited			Audited (Refer note 5)			Audited			Audited
1	Segment Revenue
a)	Treasury		690738			708374			590094			2655844			2357648
b)	Retail Banking		2821059			2775928			2401535			10799994			8922234
c)	Wholesale Banking		1527601			1576940			1457003			6113445			5456354
d)	Other Banking Operations		741753			749744			630197			2802822			2280931
e)	Unallocated		153			—			—			219			5278
	Total		5781304			5810986			5078829			22372324			19022445
	Less: Inter Segment Revenue		1952587			1978416			1752781			7665496			6611665
	Income from Operations		3828717			3832570			3326048			14706828			12410780
2	Segment Results
a)	Treasury		108230			90373			59218			346277			130576
b)	Retail Banking		266747			318421			317451			1294246			1179627
c)	Wholesale Banking		381348			397927			372483			1412109			1422412
d)	Other Banking Operations		253286			261085			254148			937233			891006
e)	Unallocated		(41425	)		(42888	)		(44970	)		(170379	)		(191804	)
	Total Profit Before Tax and Minority Interest		968186			1024918			958330			3819486			3431817
3	Segment Assets
a)	Treasury		45724091			37086993			34876621			45724091			34876621
b)	Retail Banking		48427074			47895345			42879092			48427074			42879092
c)	Wholesale Banking		52056701			47693394			40874972			52056701			40874972
d)	Other Banking Operations		11081971			11026688			9911971			11081971			9911971
e)	Unallocated		793204			821378			737915			793204			737915
	Total		158083041			144523798			129280571			158083041			129280571
4	Segment Liabilities
a)	Treasury		10201209			6097321			6143885			10201209			6143885
b)	Retail Banking		90725810			85664751			73229496			90725810			73229496
c)	Wholesale Banking		31762887			28547637			27188713			31762887			27188713
d)	Other Banking Operations		4940224			4984839			4865392			4940224			4865392
e)	Unallocated		2759376			2310248			2435640			2759376			2435640
	Total		140389506			127604796			113863126			140389506			113863126
5	Capital Employed
	(Segment Assets - Segment Liabilities)
a)	Treasury		35522882			30989672			28732736			35522882			28732736
b)	Retail Banking		(42298736	)		(37769406	)		(30350404	)		(42298736	)		(30350404	)
c)	Wholesale Banking		20293814			19145757			13686259			20293814			13686259
d)	Other Banking Operations		6141747			6041849			5046578			6141747			5046578
e)	Unallocated		(1966172	)		(1488870	)		(1697724	)		(1966172	)		(1697724	)
	Total		17693535			16919002			15417445			17693535			15417445

Business Segments have been identified and reported taking into account the target customer profile, the nature of products and services, the differing risks and returns, the organisation structure, the internal business reporting system and the guidelines prescribed by the RBI.

 

Notes :

1     Consolidated Statement of Assets and Liabilities as at March 31, 2020 is given below:

			(₹ in lacs)
Particulars	As at 31.03.2020		As at 31.03.2019
CAPITAL AND LIABILITIES	Audited		Audited
Capital		54833		54466
Reserves and Surplus		17581038		15312800
Minority Interest		57664		50179
Deposits		114620714		92250268
Borrowings		18683431		15773278
Other Liabilities and Provisions		7085361		5839580
Total		158083041		129280571
ASSETS
Cash and balances with Reserve Bank of India		7221100		4680459
Balances with Banks and Money at Call and Short notice		1572910		3501305
Investments		38930495		28944587
Advances		104367088		86922266
Fixed Assets		462685		421984
Other Assets		5528763		4809970
Total		158083041		129280571

2     Consolidated Statement of Cashflow as at March 31, 2020 is given below:

Particulars	As at 31.03.2020			As at 31.03.2019
	Audited			Audited
Cash flows from operating activities
Consolidated profit before income tax		3815255			3420499
Adjustment for:
Depreciation on fixed assets		127677			122067
(Profit) / loss on revaluation of investments		70211			1524
Amortisation of premium on held to maturity investments		50141			45346
(Profit) / loss on sale of fixed assets		819			(621	)
Provision / charge for non performing assets		1106571			742338
Provision for standard assets and contingencies		305743			118525
		5476417			4449678
Adjustments for:
(Increase) / decrease in investments		(10107010	)		(5145836	)
(Increase) / decrease in advances		(18550036	)		(17660750	)
Increase / (decrease) in deposits		22370446			13412754
(Increase) / decrease in other assets		(724976	)		(971680	)
Increase / (decrease) in other liabilities and provisions		935987			878511
		(599172	)		(5037323	)
Direct taxes paid (net of refunds)		(1087737	)		(1249831	)
Net cash flow used in operating activities		(1686909	)		(6287154	)
Cash flows used in investing activities
Purchase of fixed assets		(163587	)		(162061	)
Proceeds from sale of fixed assets		1895			2220
Net cash flow used in investing activities		(161692	)		(159841	)
Cash flows from financing activities
Increase in minority interest		7485			14546
Proceeds from issue of share capital, net of issue expenses		184868			2579043
Proceeds from issue of  Tier I and Tier II capital bonds		74350			90000
Redemption of Tier II capital bonds		—			(287500	)
Increase / (decrease) in other borrowings		2835804			326568
Dividend paid during the year (including tax on dividend)		(663059	)		(409589	)
Net cash flow from financing activities		2439448			2313068
Effect of exchange fluctuation on translation reserve		21399			9535
Net increase / (decrease) in cash and cash equivalents		612246			(4124392	)
Cash and cash equivalents as at April 1st		8181764			12306156
Cash and cash equivalents as at March 31st		8794010			8181764

3	The above financial results represent the consolidated financial results for HDFC Bank Limited and its subsidiaries constituting the 'Group'. These financial results have been approved by the Board of Directors of the Bank at its meeting held on April 18, 2020. The financial results for the quarter and year ended March 31, 2020 have been subjected to an audit by the statutory auditors of the Bank. The report thereon is unmodified. The financial results for the year ended March 31, 2019 were audited by another firm of chartered accountants.
4	The Group has consistently applied its significant accounting policies in the preparation of its quarterly financial results and its annual financial statements during the years ended March 31, 2020 and March 31, 2019.
5	The figures for the quarter ended March 31, 2020 and March 31,2019 are the balancing figures between audited figures in respect of the full financial year and the published / unaudited year to date figures upto end of the third quarter of respective financial year.
6	The Reserve Bank of India, vide its circular dated April 17, 2020, has decided that banks shall not make any further dividend payouts from profits pertaining to the financial year ended March 31, 2020 until further instructions, with a view that banks must conserve capital in an environment of heightened uncertainty caused by COVID-19. Accordingly, the Board of Directors of the Bank, at their meeting held on April 18, 2020, has not proposed any final dividend for the year ended March 31, 2020.
7	The SARS-CoV-2 virus responsible for COVID-19 continues to spread across the globe and India, which has contributed to a significant decline and volatility in global and Indian financial markets and a significant decrease in global and local economic activities. On March 11, 2020, the COVID-19 outbreak was declared a global pandemic by the World Health Organization. Numerous governments and companies, including the Bank, have introduced a variety of measures to contain the spread of the virus. On March 24, 2020, the Indian government announced a strict 21-day lockdown which was further extended by 19 days across the country to contain the spread of the virus. The extent to which the COVID-19 pandemic will impact the Bank's results will depend on future developments, which are highly uncertain, including, among other things, any new information concerning the severity of the COVID-19 pandemic and any action to contain its spread or mitigate its impact whether government-mandated or elected by the Bank.
	In accordance with the RBI guidelines relating to COVID-19 Regulatory Package dated March 27, 2020 and April 17, 2020, the Bank would be granting a moratorium of three months on the payment of all installments and / or interest, as applicable, falling due between March 1, 2020 and May 31, 2020 to all eligible borrowers classified as Standard, even if overdue, as on February 29, 2020. For all such accounts where the moratorium is granted, the asset classification shall remain stand still during the moratorium period (i.e. the number of days past-due shall exclude the moratorium period for the purposes of asset classification under the Income Recognition, Asset Classification and Provisioning norms).
	The Bank holds provisions as at March 31, 2020 against the potential impact of COVID-19 based on the information available at this point in time. The provisions held by the Bank are in excess of the RBI prescribed norms.
8	In accordance with the RBI guidelines, banks are required to make consolidated Pillar 3 disclosures including leverage ratio and liquidity coverage ratio under the Basel III Framework. These disclosures are available on the Bank's website at the following link: http://www.hdfcbank.com/aboutus/basel_disclosures/ default.htm. The disclosures have not been subjected to audit or review by the statutory auditors.
9	Figures of the previous periods have been regrouped / reclassified wherever necessary to conform to current period's classification.
10	₹ 10 lac = ₹ 1 million
	₹ 10 million = ₹ 1 crore

Place : Mumbai	Aditya Puri
Date  : April 18, 2020	Managing Director

NEWS RELEASE HDFC Bank Ltd. HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai - 400 013. CIN: L65920MH1994PLC080618

HDFC Bank Limited

FINANCIAL RESULTS (INDIAN GAAP) FOR THE QUARTER AND YEAR ENDED MARCH 31, 2020

The Board of Directors of HDFC Bank Limited approved the Bank’s (Indian GAAP) results for the quarter and full year ended March 31, 2020, at their meeting held in Mumbai on Saturday, April 18, 2020. The accounts have been subjected to an audit by the statutory auditors of the Bank.

STANDALONE FINANCIAL RESULTS:

Profit & Loss Account: Quarter ended March 31, 2020

The Bank’s net revenues (net interest income plus other income) increased by 18.2% to ₹ 21,236.6 crore for the quarter ended March 31, 2020 over the corresponding quarter of the previous year.

Net interest income (interest earned less interest expended) for the quarter ended March 31, 2020 grew to ₹ 15,204.1 crore from ₹ 13,089.5 crore for the quarter ended March 31, 2019, driven by growth in advances of 21.3%, and a growth in deposits of 24.3%. The net interest margin for the quarter was at 4.3%.

Other income (non-interest revenue) at ₹ 6,032.6 crore was 28.4% of the net revenues for the quarter ended March 31, 2020 as against ₹ 4,871.2 crore in the corresponding quarter ended March 31, 2019. The four components of other income for the quarter ended March 31, 2020 were fees & commissions of ₹ 4,200.8 crore (₹ 3,665.4 crore in the corresponding quarter of the previous year), foreign exchange & derivatives revenue of ₹ 500.8 crore (₹ 403.3 crore for the corresponding quarter of the previous year), gain on sale / revaluation of investments of ₹ 565.3 crore (gain of ₹ 228.9 crore in the corresponding quarter of the previous year) and miscellaneous income, including recoveries and dividend, of ₹ 765.7 crore (₹ 573.6 crore for the corresponding quarter of the previous year).

NEWS RELEASE HDFC Bank Ltd. HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai - 400 013. CIN: L65920MH1994PLC080618

During the quarter, there was a considerable slowdown in economic activities following the outbreak of COVID-19. Furthermore, with the government initiating lockdown in the latter half of March, and our strict adherence to social distancing, not only did we see an impact on business volumes - in terms of loan originations, distribution of third party products, and payments product activities, but we also could not optimize our collection efforts, and as a result of which fees/other income were lower by ₹ 450 crore.

Operating expenses for the quarter ended March 31, 2020 were ₹ 8,277.8 crore, an increase of 16.3% over ₹ 7,117.1 crore during the corresponding quarter of the previous year. The cost-to-income ratio for the quarter was at 39.0% as against 39.6% for the corresponding quarter ended March 31, 2019.

Pre-provision Operating Profit (PPOP) at ₹ 12,958.8 crore grew by 19.5% over the corresponding quarter of the previous year.

Provisions and contingencies for the quarter ended March 31, 2020 were ₹ 3,784.5 crore (consisting of specific loan loss provisions of ₹ 1,917.8 crore and general provisions and other provisions of ₹ 1,866.7 crore) as against ₹ 1,889.2 crore (consisting of specific loan loss provisions of ₹ 1,430.3 crore and general provisions and other provisions of ₹ 459.0 crore) for the quarter ended March 31, 2019. Total provisions for the current quarter included credit reserves relating to COVID-19 in the form of contingent provisions of approximately ₹1550 crore. The Core Credit Cost ratio was 0.77%, as compared to 0.92% in the quarter ending December 31, 2019 and 0.69% in the quarter ending March 31, 2019.

Profit before tax (PBT) for the quarter ended March 31, 2020 was at ₹ 9,174.3 crore. After providing ₹ 2,246.6 crore for taxation, the Bank earned a net profit of ₹ 6,927.7 crore, an increase of 17.7% over the quarter ended March 31, 2019.

NEWS RELEASE HDFC Bank Ltd. HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai - 400 013. CIN: L65920MH1994PLC080618

Profit & Loss Account: Year ended March 31, 2020

For the year ended March 31, 2020, the Bank earned a total income of ₹ 138,073.5 crore. Net revenues (net interest income plus other income) for the year ended March 31, 2020 were ₹ 79,447.1 crore, up by 20.6% over ₹ 65,869.1 crore for the year ended March 31, 2019. The net interest margin for the year ended March 31, 2020 was 4.3%. The cost to income ratio for the year ended March 31, 2020 was at 38.6%, as against 39.7% for the year ended March 31, 2019. The Bank’s net profit for the year ended March 31, 2020 was ₹ 26,257.3 crore, up 24.6% over the year ended March 31, 2019.

Balance Sheet: As of March 31, 2020

Total balance sheet size as of March 31, 2020 was ₹ 1,530,511 crore as against ₹ 1,244,541 crore as of March 31, 2019, a growth of 23.0%.

Total deposits as of March 31, 2020 were ₹ 1,147,502 crore, an increase of 24.3% over March 31, 2019. CASA deposits grew by 23.9% with savings account deposits at ₹ 310,377 crore and current account deposits at ₹ 174,248 crore. Time deposits were at ₹ 662,877 crore, an increase of 24.6% over the previous year, resulting in CASA deposits comprising 42.2% of total deposits as of March 31, 2020. The Bank’s continued focus on deposits helped in the maintenance of a healthy liquidity coverage ratio at 132%, well above the regulatory requirement.

Total advances as of March 31, 2020 were ₹ 993,703 crore, an increase of 21.3% over March 31, 2019. Domestic advances grew by 21.4% over March 31, 2019. As per regulatory [Basel 2] segment classification, domestic retail loans grew by 14.6% and domestic wholesale loans grew by 29.3%. The domestic loan mix as per Basel 2 classification between retail:wholesale was 51:49. Overseas advances constituted 3% of total advances.

Capital Adequacy:

The Bank’s total Capital Adequacy Ratio (CAR) as per Basel III guidelines was at 18.5% as on March 31, 2020 (17.1% as on March 31, 2019) as against a regulatory requirement of 11.075% which includes Capital Conservation Buffer of 1.875%, and an additional requirement of 0.20% on account of the Bank being identified as a Domestic Systemically Important Bank (D-SIB). Tier 1 CAR was at 17.2% as of March 31, 2020 compared to 15.8% as of March 31, 2019. Common Equity Tier 1 Capital ratio was at 16.4% as of March 31, 2020. Risk-weighted Assets were at ₹ 994,716 crore (as against ₹ 931,930 crore as at March 31, 2019).

NEWS RELEASE HDFC Bank Ltd. HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai - 400 013. CIN: L65920MH1994PLC080618

NETWORK

As of March 31, 2020, the Bank’s distribution network was at 5,416 banking outlets and 14,901 ATMs / Cash Deposit & Withdrawal Machines (CDMs) across 2,803 cities / towns as against 5,103 banking outlets and 13,489 ATMs / CDMs across 2,748 cities / towns as of March 31, 2019. Of the total banking outlets, 52% are in semi-urban and rural areas. In addition, we have 5,379 banking outlets managed by the Common Service Centres. Number of employees were at 116,971 as of March 31, 2020 (as against 98,061 as of March 31, 2019).

ASSET QUALITY

Gross non-performing assets were at 1.26% of gross advances as on March 31, 2020, (1.1% excluding NPAs in the agricultural segment) as against 1.42% as on December 31, 2019 (1.2% excluding NPAs in the agricultural segment) and 1.36% as on March 31, 2019 (1.2% excluding NPAs in the agricultural segment). Net non-performing assets were at 0.36% of net advances as on March 31, 2020.

In accordance with the RBI guidelines relating to COVID-19 Regulatory Package dated March 27, 2020 and April 17, 2020, the Bank would be granting a moratorium of three months on the payment of all installments and / or interest, as applicable, falling due between March 1, 2020 and May 31, 2020 to all eligible borrowers classified as Standard, even if overdue, as on February 29, 2020. For all such accounts where the moratorium is granted, the asset classification shall remain standstill during the moratorium period (i.e. the number of days past-due shall exclude the moratorium period for the purposes of asset classification under the IRACP norms). The Bank holds provisions as on March 31, 2020 against the potential impact of COVID-19 based on the information available at this point in time and the same are in excess of the RBI prescribed norms. As a result, GNPA and NNPA ratios were lower by 10 bps and 6 bps respectively.

The Bank held floating provisions of ₹ 1,451 crore and contingent provisions of ₹ 2,996 crore as on March 31, 2020. Total provisions (comprising specific, floating, contingent and general provisions) were 142% of the gross non-performing loans as on March 31, 2020.

NEWS RELEASE HDFC Bank Ltd. HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai - 400 013. CIN: L65920MH1994PLC080618

CONSOLIDATED FINANCIAL RESULTS

The Bank’s subsidiary companies prepare their financial results in accordance with the notified Indian Accounting Standards ('Ind-AS'). The Bank for the purposes of its statutory compliance prepares and presents its financial results under Indian GAAP. Hence the Bank’s subsidiary companies, for the purposes of the consolidated financial results of the Bank, prepare 'fit-for-consolidation information' based on the recognition and measurement principles as per Indian GAAP.

HDFC Securities Limited (HSL) is amongst the leading retail broking firms in India. As on March 31, 2020, the Bank held 96.6% stake in HSL.

HDB Financial Services Limited (HDBFSL) is a non-deposit taking non-banking finance company (‘NBFC’) offering wide range of loans and asset finance products to individuals, emerging businesses and micro enterprises. As on March 31, 2020, the Bank held 95.3% stake in HDBFSL.

The consolidated net profit for the quarter ended March 31, 2020 was ₹ 7,280 crore, up 15.5%, over the quarter ended March 31, 2019. Consolidated advances grew by 20.1% from ₹ 869,223 crore as on March 31, 2019 to ₹ 1,043,671 crore as on March 31, 2020.

The consolidated net profit for the year ended March 31, 2020 was ₹ 27,254 crore, up 22.0%, over the year ended March 31, 2019.

NEWS RELEASE HDFC Bank Ltd. HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai - 400 013. CIN: L65920MH1994PLC080618

Note:

₹ = Indian Rupees

1 crore = 10 million

All figures and ratios are in accordance with Indian GAAP unless otherwise specified.

BSE: 500180

NSE: HDFCBANK 

NYSE: HDB

Certain statements are included in this release which contain words or phrases such as “will,” “aim,” “will likely result,” “believe,” “expect,” “will continue,” “anticipate,” “estimate,” “intend,” “plan,” “contemplate,” “seek to,” “future,” “objective,” “goal,” “project,” “should,” “will pursue” and similar expressions or variations of these expressions, that are “forward-looking statements.” Actual results may differ materially from those suggested by the forward-looking statements due to certain risks or uncertainties associated with our expectations with respect to, but not limited to, our ability to implement our strategy successfully, the market acceptance of and demand for various banking services, future levels of our non-performing loans, our growth and expansion, the adequacy of our allowance for credit and investment losses, technological changes, volatility in investment income, our ability to market new products, cash flow projections, the outcome of any legal, tax or regulatory proceedings in India and in other jurisdictions we are or become a party to, the future impact of new accounting standards, our ability to pay dividends, the impact of changes in banking regulations and other regulatory changes on us in India and other jurisdictions, our ability to roll over our short-term funding sources and our exposure to market and operational risks. By their nature, certain of the market risk disclosures are only estimates and could be materially different from what may actually occur in the future. As a result, actual future gains, losses or impact on net income could materially differ from those that have been estimated. In addition, other factors that could cause actual results to differ materially from those estimated by the forward-looking statements contained in this document include, but are not limited to: general economic and political conditions, instability or uncertainty in India and the other countries which have an impact on our business activities or investments caused by any factor, including terrorist attacks in India, the United States or elsewhere, anti-terrorist or other attacks by the United States, a United States-led coalition or any other country, tensions between India and Pakistan related to the Kashmir region or between India and China, military armament or social unrest in any part of India; the monetary and interest rate policies of the government of India, natural calamities, inflation, deflation, unanticipated turbulence in interest rates, foreign exchange rates, equity prices or other rates or prices; the performance of the financial markets in India and globally, changes in Indian and foreign laws and regulations, including tax, accounting and banking regulations, changes in competition and the pricing environment in India, and regional or general changes in asset valuations.

NEWS RELEASE HDFC Bank Ltd. HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai - 400 013. CIN: L65920MH1994PLC080618

For more information please log on to:www.hdfcbank.com

For media queries please contact:

Neeraj Jha

Head, Corporate Communication 

HDFC Bank Ltd., Mumbai.

Tel: 91 - 22 - 6652 1308 (D) / 6652 1000 (B)

Fax: 91 - 22 - 2490 3168

Mobile: +91 93236 20828 

neeraj.jha@hdfcbank.com

For investor queries please contact:

Ajit Shetty

HDFC Bank Ltd., Mumbai.

Tel: 91 - 22 - 6652 1054 (D) / 6652 1000 (B)

Mobile: +91 9819628910

ajit.shetty@hdfcbank.com