HDFC Bank profit rises 9% to $2.04b on treasury income gains

But fee income growth is slower than expected.

HDFC Bank saw its profit after tax grow 9% year-on-year (YoY) to $2.04b (INR192b) in Q4 FY2026, lifted by a better-than-expected treasury income and lower-than-expected credit costs.

Treasury income was $85.04m (INR8b), compared to estimates of $26.57m (INR2.5b) by InCred Equities.

Core performance, however, was weaker than what InCred Equities anticipated due to the core fee income growth of 8% year-on-year (YoY) being below estimates.

ICICI Bank also missed net interest income, which grew only 3% YoY, said Bhavik Shah and Rishabh Jogani, analysts for InCred Equities.

Average balance sheet grew 10% YoY and 1% quarter-on-quarter (QoQ), which Shah and Jogani called “weak.”

(US$1 = INR94.09)