HDFC Bank’s Q3FY26 profit rises 11.5% to ₹18,654 crore:Results surpass market expectations; ED Bhavesh Zaveri set to retire on April 18

HDFC Bank, the country’s largest private sector lender, announced its third-quarter results for fiscal year 2025-26 (Q3FY26) on Saturday, January 17. The bank’s standalone net profit rose 11.5% year-on-year to ₹18,654 crore, compared to ₹16,735 crore in the same quarter last year. This exceeded market expectations, with analysts forecasting a profit of around ₹18,473 crore. Executive Director Bhavesh Zaveri to retire HDFC Bank also announced that Executive Director Bhavesh Zaveri will retire on April 18, 2026. Zaveri, who has been a key figure in the bank’s operations and strategy, received appreciation from the board for his long-standing contributions. Asset quality improves The bank reported a decline in Gross Non-Performing Assets (GNPA) compared to the September quarter, reflecting improved asset quality. Loan demand remains strong, particularly in rural and semi-urban areas, providing stability in provisioning for bad loans. Double-digit growth in deposits and advances By the end of December, HDFC Bank’s gross advances increased 11.9% year-on-year to ₹28.4 lakh crore. Total deposits grew 11.5% to ₹28.5 lakh crore, with CASA (Current Account and Savings Account) deposits rising to ₹9.6 lakh crore. Interest income and profitability Net Interest Income (NII) is estimated to grow 4–8%, with the Net Interest Margin (NIM) remaining stable. Analysts note that the post-merger balance sheet is being managed more efficiently, with a focus on deposit growth. Digital banking and retail loans focus HDFC Bank plans to further strengthen its digital banking platform and expand its retail loan and MSME portfolios. The bank aims to reduce its cost-to-income ratio to maintain profit momentum. Stock in consolidation phase Experts say HDFC Bank’s stock is in a consolidation phase. Despite sluggish returns over the past year, a recovery is expected following strong earnings. About HDFC Bank Founded in 1994 by Hasmukh Parekh, HDFC Bank is headquartered in Mumbai. Its CEO is Sashidhar Jagdishan. The bank has over 9,092 branches and more than 20,993 ATMs nationwide.