HDB Financial Services Surges 11% as Profit Jumps Over 41%
Shares of HDB Financial Services rallied as much as 11% on Thursday after the non-bank lender reported a strong 41.4% year-on-year rise in quarterly profit, driven by improved margins and easing asset quality pressures. The stock touched a near two-month high and was last trading about 9% higher at ₹702.25, marking its best session on record.
The company, a subsidiary of HDFC Bank, posted a net profit of ₹7.51 billion for the quarter ended March 31, compared to ₹5.31 billion a year earlier. Assets under management rose 10.7% to ₹1.19 trillion, while net interest income grew 21.6% to ₹23.99 billion. Analysts noted that easing stress in unsecured lending and improving credit quality are likely to support stronger loan growth in the coming quarters.
Brokerages remain optimistic about the lender’s outlook, with expectations of stabilizing asset growth and improved earnings momentum over the next two years. Consumer finance led the expansion with a 16% rise, outpacing enterprise lending and asset finance segments. The results signal a turnaround for HDB Financial, which had lagged peers since its July 2025 listing due to elevated bad loans, and is still down about 10% so far this year.
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