HDFC Bank beats Q3 profit expectations on better lending margins

MUMBAI, Jan 17 (Reuters): Indian private lender HDFC Bank reported a higher-than-expected profit for the third quarter on Saturday as loan growth remained strong and margins improved sequentially.

The country's largest private lender by market capitalisation posted a standalone net profit of 186.53 billion Indian rupees ($2.06 billion) for the three months ended December 31, an 11.5 per cent increase from 167.35 billion rupees a year earlier. Analysts had expected a profit of 183.7 billion rupees, according to data compiled by LSEG.

The Mumbai-based lender's net interest income rose 6.4 per cent to 326.2 billion rupees, while its net interest margin improved to 3.35 per cent from 3.27 per cent in the previous quarter. The Reserve Bank of India cut its benchmark interest rate by a cumulative 125 basis points since February 2025 to spur consumption and investment.