Finance >>Profit & Loss>>HDFC Bank Ltd

Year 2021 2020 2019 2018

INCOME :
Interest Earned 128,552.39 122,189.29 105,160.74 85,287.84
Other Income 27,332.88 24,878.97 18,947.05 16,056.60
Total 155,885.27 147,068.26 124,107.79 101,344.44
II. Expenditure
Interest expended 59,247.58 62,137.42 53,712.69 42,381.48
Payments to/Provisions for Employees 13,676.67 12,920.13 10,451.15 9,193.90
Operating Expenses & Administrative Expenses 6,435.33 5,489.56 5,187.30 4,976.65
Depreciation 1,385.01 1,276.77 1,220.67 966.78
Other Expenses, Provisions & Contingencies 32,344.54 27,049.53 19,217.82 15,361.70
Provision for Tax 12,336.79 10,422.14 12,961.15 10,848.11
Deferred Tax -1,397.41 476.45 -1,088.60 -945.03
Total 155,885.27 147,068.26 124,107.79 101,344.44
III. Profit & Loss
Net Profit 31,856.77 27,296.27 22,445.61 18,560.84
 VERTICAL ANALYSIS
2017 Year 2021 2020 2019 208
INCOME :
73,271.35 Interest Earned 82.47% 83.08% 84.73% 84.16%
12,905.08 Other Income 17.53% 16.92% 15.27% 15.84%
86,176.43 Total 100.00% 100.00% 100.00% 100.00%
II. Expenditure
38,041.58 Interest expended 38.01% 42.25% 43.28% 41.82%
8,504.70 Payments to/Provisions for Employees 8.77% 8.79% 8.42% 9.07%
4,603.71 Operating Expenses & Administrative Expenses 4.13% 3.73% 4.18% 4.91%
886.19 Depreciation 0.89% 0.87% 0.98% 0.95%
10,747.29 Other Expenses, Provisions & Contingencies 20.75% 18.39% 15.48% 15.16%
8,424.16 Provision for Tax 7.91% 7.09% 10.44% 10.70%
-346.04 Deferred Tax -0.90% 0.32% -0.88% -0.93%
86,176.43 Total 100.00% 100.00% 100.00% 100.00%
III. Profit & Loss
15,314.85 Net Profit 20.44% 18.56% 18.09% 18.31%

ANALYSIS
It is found that the interest earned remains to be a crucial part of the bank's income accounting
to more than 80% of its total revenue each year, even after decreasing by quite a small
percentage.

Provision for tax kept by the bank showed a deacrease by 3% in 2020 and increased by .82% in
2021.
The net profit continues to increase at a positive rate of upto 2%
 HORIZONTAL ANALYSIS
2017 Year 2021 2020 2019 2018
INCOME :
85.02% Interest Earned 175.45% 166.76% 143.52% 116.40%
14.98% Other Income 211.80% 192.78% 146.82% 124.42%
100.00% Total 180.89% 170.66% 144.02% 117.60%
II. Expenditure
44.14% Interest expended 155.74% 163.34% 141.19% 111.41%
9.87% Payments to/Provisions for Employees 160.81% 151.92% 122.89% 108.10%
5.34% Operating Expenses & Administrative Expenses 139.79% 119.24% 112.68% 108.10%
1.03% Depreciation 156.29% 144.07% 137.74% 109.09%
12.47% Other Expenses, Provisions & Contingencies 300.96% 251.69% 178.82% 142.94%
9.78% Provision for Tax 146.45% 123.72% 153.86% 128.77%
-0.40% Deferred Tax 403.83% -137.69% 314.59% 273.10%
100.00% Total 180.89% 170.66% 144.02% 117.60%
III. Profit & Loss
17.77% Net Profit 208.01% 178.23% 146.56% 121.20%

ANALYSIS
income accounting Interest earned by the bank continues to increase since 2017 and in 2021, increased by 75% when
by quite a small compared to 2017, while income from other sources almost doubled in the same year.

ncreased by .82% in Payments made to employees and provisions made for them increase every year, suggesting that
the bank is taking good care of its employees financially.
o 2% Deffered tax quadrupled since 2017 in 2021 and increased by 500% from 2020.
The bank has been able to double its profit in 2021 from the profit in 2017 while showing a steady
increase by 20% every year in between
 2017

100.00%
100.00%
100.00%

100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%

100.00%

reased by 75% when

the same year.

year, suggesting that

from 2020.
hile showing a steady
 Finance >>Balance Sheet>>HDFC Bank Ltd
Year 2021 2020 2019 2018
SOURCES OF FUNDS :
Capital 551.28 548.33 544.66 519.02
Reserves Total 209,258.91 175,810.38 153,128.00 109,080.11
Minority Interest 632.76 576.64 501.79 356.33
Deposits 1,333,720.88 1,146,207.13 922,502.68 788,375.14
Borrowings 177,696.75 186,834.32 157,732.78 156,442.08
Other Liabilities & Provisions 77,646.07 70,853.63 58,395.80 48,460.09
TOTAL LIABILITIES 1,799,506.65 1,580,830.43 1,292,805.71 1,103,232.77
APPLICATION OF FUNDS :
Cash & Balances with RBI 97,370.35 72,211.00 46,804.59 104,688.20
Balances with Banks & money at Call 23,902.17 15,729.11 35,013.05 18,373.35
Investments 438,823.11 389,304.95 289,445.87 238,460.92
Advances 1,185,283.52 1,043,670.88 869,222.66 700,033.84
Fixed Assets 5,248.35 4,775.65 4,368.63 4,008.13
Other Assets 48,879.13 55,138.85 47,950.90 37,668.32
TOTAL ASSETS 1,799,506.63 1,580,830.44 1,292,805.70 1,103,232.76
Contingent Liability 975,280.66 1,130,474.06 1,025,125.31 875,776.96
Bills for collection 44,748.14 51,584.90 49,952.80 42,753.83
Ltd VERTICAL ANALYSIS
2017 2016 Year 2021 2020
SOURCES OF FUNDS :
512.51 505.64 Capital 0.03% 0.03%
91,281.44 73,798.49 Reserves Total 11.63% 11.12%
291.44 180.62 Minority Interest 0.04% 0.04%
643,134.25 545,873.29 Deposits 74.12% 72.51%
98,415.64 103,713.96 Borrowings 9.87% 11.82%
58,827.40 38,234.85 Other Liabilities & Provisions 4.31% 4.48%
892,462.68 762,306.85 TOTAL LIABILITIES 100.00% 100.00%
APPLICATION OF FUNDS :
37,910.55 30,076.58 Cash & Balances with RBI 5.41% 4.57%
11,400.57 8,992.30 Balances with Banks & money at Call 1.33% 0.99%
210,777.11 193,633.85 Investments 24.39% 24.63%
585,480.99 487,290.42 Advances 65.87% 66.02%
3,999.70 3,666.86 Fixed Assets 0.29% 0.30%
42,893.76 38,646.84 Other Assets 2.72% 3.49%
892,462.68 762,306.85 TOTAL ASSETS 100.00% 100.00%
818,284.28 853,527.38 Contingent Liability 54.20% 71.51%
30,848.04 23,490.00 Bills for collection 2.49% 3.26%

VERTICAL
- The vertical analysis shows that deposits continued to be a majo
income for the bank each year and was increasing every year by

- Borrowings decrease in the year 2021 by almost 2% from

ANALYSIS
2019 2018 2017

0.04% 0.05% 0.06%

11.84% 9.89% 10.23%
0.04% 0.03% 0.03%
71.36% 71.46% 72.06%
12.20% 14.18% 11.03%
4.52% 4.39% 6.59%
100.00% 100.00% 100.00%

3.62% 9.49% 4.25%

2.71% 1.67% 1.28%
22.39% 21.61% 23.62%
67.24% 63.45% 65.60%
0.34% 0.36% 0.45%
3.71% 3.41% 4.81%
100.00% 100.00% 100.00%
79.29% 79.38% 91.69%
3.86% 3.88% 3.46%

ICAL
sits continued to be a major source of
as increasing every year by upto 2%

r 2021 by almost 2% from 2020.

 HORIZONTAL ANALYSIS
Year 2021 2020 2019
SOURCES OF FUNDS :
Capital 107.56% 106.99% 106.27%
Reserves Total 229.25% 192.60% 167.75%
Minority Interest 217.12% 197.86% 172.18%
Deposits 207.38% 178.22% 143.44%
Borrowings 180.56% 189.84% 160.27%
Other Liabilities & Provisions 131.99% 120.44% 99.27%
TOTAL LIABILITIES 201.63% 177.13% 144.86%
APPLICATION OF FUNDS :
Cash & Balances with RBI 256.84% 190.48% 123.46%
Balances with Banks & money at Call 209.66% 137.97% 307.12%
Investments 208.19% 184.70% 137.32%
Advances 202.45% 178.26% 148.46%
Fixed Assets 131.22% 119.40% 109.22%
Other Assets 113.95% 128.55% 111.79%
TOTAL ASSETS 201.63% 177.13% 144.86%
Contingent Liability 119.19% 138.15% 125.28%
Bills for collection 145.06% 167.22% 161.93%

HORIZONTAL
- The capital available with the bank has shown a slow yet steady increase YoY as compared to FY 2017 and has risen
by 7.56% in FY2021. All other sources of funds show a steady increase every year with the deposits and minority
interest showing a sharp increase reaching almost double the base year numbers.

The total liablities with The bank due to The above two mentioned variables, showed a sharp increase in FY2021

- The advances handed out by the bank saw a sharp increase in FY 2010 and almost rose up by 50%.

The balances with The bank saw a fall in FY2020 which could be a result of people withdrawing their savings to mee
their expenses with The onset of Pandemic.

- Fixed assets also showed an increase in 2021 by almost 12% which means that the bank could have opened new
branches.
 2018 2017

101.27% 100.00%
119.50% 100.00%
122.27% 100.00%
122.58% 100.00%
158.96% 100.00%
82.38% 100.00%
123.62% 100.00%

276.15% 100.00%
161.16% 100.00%
113.13% 100.00%
119.57% 100.00%
100.21% 100.00%
87.82% 100.00%
123.62% 100.00%
107.03% 100.00%
138.59% 100.00%

pared to FY 2017 and has risen

th the deposits and minority
ear numbers.

d a sharp increase in FY2021

lmost rose up by 50%.

hdrawing their savings to meet

bank could have opened new

 INDUSTRY RATIOS

Year Latest 2021 2020 2019 2018

Key Ratios
Investment / Deposit (%) 35.48 34.85 35.73 36.96 36.76
Cash / Deposit (%) 10.56 10.26 9.61 9.93 10.40
Interest Expended / Interest Earned (%) 50.75 49.76 55.55 57.03 56.54
Other Income / Total Income (%) 17.60 17.59 18.27 16.35 18.32
Operating Expenses / Total Income (%) 25.14 24.79 24.26 24.46 23.79
 HDFC BANK RATIOS

2017 Year 2021 2020

Key Ratios
37.96 Investment / Deposit (%) 32.90% 33.96%
9.83 Cash / Deposit (%) 7.30% 6.30%
59.10 Interest Expended / Interest Earned (%) 46.09% 50.85%
18.69 Other Income / Total Income (%) 17.53% 16.92%
22.25 Operating Expenses / Total Income (%) 4.13% 3.73%
ATIOS

2019 2018 2017

31.38% 30.25% 32.77%

5.07% 13.28% 5.89%
51.08% 49.69% 51.92%
15.27% 15.84% 14.98%
4.18% 4.91% 5.34%