HDB FINANCIAL SERVICES Results Analysis Q2FY2027

Interest Earned for Q2FY27 is Rs. 4,351 Crs., 11.95% growth YoY, Net Interest Income is Rs. 2,534 Crs., 15.56% growth YoY, Total Income is Rs. 5,005 Crs.,10.12% growth YoY, Pre-Provisioning Operating Profit is Rs. 1,774 Crs., 15.88% growth YoY, PBT is Rs. 1,044 Crs., 33.43% growth YoY, Net profit is Rs. 780 Crs., 34.19% growth YoY. On QoQ basis Interest Earned has earned a flat growth of 2.08%, Net Interest Income has grown by 1%, Total Income has grown by 1.36%, Pre-Provisioning Operating Profit has grown by 1.22%, but PBT grown negatively by 1.08%, PAT is also grown negatively by 0.64%. For Q2FY27 Gross NPA 2.43% vs 2.81% in Q2FY26, Net NPA 1.09% vs 1.27% in Q2FY26. Return on Assets is 2.4% improved marginally by 50 BPS YoY, return on Equity is 14.4% improved by 220 BPS YoY, Net Interest Margin is 8.23% improved by 28 BPS YoY. Gross loan book as on September 30, 2026 stood at ₹1,24,469 crores, growing 11.7% Y-o-Y and 2.2% sequentially. Secured loans comprised 74% of the Gross loan book. Disbursement momentum is improving; management is focused on protecting NIM in a tight band, navigating a rising rate cycle, and re-accelerating AUM growth via product mix and improved execution—especially fixing used CV in asset finance. high repayments have mechanically diluted net growth; management expects this to normalize as FY27 disbursements are stronger vs FY26. Efficiency improvements are positioned as structural (AI + workflow simplification), with expanded distribution points despite reduced headcount—suggesting operating leverage if growth accelerates.