Private sector lenders ended the fourth quarter of 2024-25 (Q4FY25) on a steady note with improvement in asset quality. However, with the Reserve Bank of India’s 50 basis point policy rate cut and expectations of further rate cuts on the horizon, the lenders are keeping a close watch on the margins in the coming quarters as assets are repriced.

HDFC Bank on Saturday reported a standalone net profit of ₹17,616 crore for the fourth quarter ended March 31, 2025 (Q4FY25), up 6.7 per cent from ₹16,512 crore in the Q4FY24. Consolidated net profit of the bank was ₹18,834.88 crore in Q4FY25 compared to ₹17,622.38 crore in Q4FY24, up by 6.8 per cent.

Net interest income of the bank in Q4FY25 grew by 10.3 per cent to ₹32,070 crore from ₹29,080 crore in Q4FY24. Net interest margin of the bank was at 3.5 per cent during Q4FY25 compared to 3.4 per cent in Q4FY24. Provisions and contingencies for Q4FY25 was ₹3,190 crore, lower than ₹13,150 crore during Q4FY24.

Gross NPA of the bank was at 1.33 per cent of gross advances as on March 31, 2025, against 1.24 per cent as of March 31, 2024, while net NPA was 0.43 per cent as of March 31, 202,5, compared to 0.33 per cent as of March 31, 2024.

On a consolidated basis, the net profit of the bank was ₹70,792.25 crore in FY25 compared to ₹64062.04 crore in FY24.

The board of the bank recommended a dividend of ₹22 per equity share of ₹1 each for the year ended March 31, 2025.

HDFC Bank’s chief financial officer, Srinivasan Vaidyanathan, said that the bank had consciously taken a call to slow down loan growth and focus on the liabilities.

ICICI Bank

ICICI Bank reported a standalone net profit of ₹12,629.58 crore for Q4FY25, up 17.95 per cent from ₹10,707.53 crore in Q4FY24. On a consolidated basis, the bank has reported a 15.7 per cent rise in net profit for Q4FY25 to ₹13,502.22 crore, compared to ₹11,671.52 crore in Q4FY24.

Net interest income of the bank increased by 11 per cent to ₹21,193 crore in Q4FY25 from ₹19,093 crore in Q4FY24. Net interest margin was 4.41 per cent in Q4FY25 compared to 4.4 per cent in Q4FY24 and 4.25 per cent in Q3FY25. Provisions during the quarter was ₹891 crore compared to ₹718 crore in Q4FY24.

The gross NPA ratio of the bank in Q4FY25 was 1.67 per cent as of March 31, 2025 compared to 2.16 per cent as of March 31, 2014. Net NPA ratio was 0.39 per cent compared to 0.42 per cent as of March 31, 2024.

For FY25, the bank’s consolidated net profit was ₹51029.20 crore compared to ₹44256.37 crore in FY24.

The bank’s board has recommended a dividend of ₹11 per share of ₹2 each for the year ended March 31, 2025.

“In the near term, we will follow what is happening by and large in the banking system, and the margins will be impacted by the repo rate cut, and we do expect more rate cuts to happen. The deposits repricing happens with a lag. So we will continue to look at various ways to maximise opportunities to increase our risk-calibrated profits,” said Sandeep Batra, executive director ICICI Bank.

Yes Bank

Yes Bank on Saturday reported a standalone net profit of ₹738 crore for the fourth quarter ended March 31, 2025, up 63.3 per cent from ₹452 crore for the corresponding quarter previous year. The bottomline of the bank was aided by a rise in net interest income, non-interest income and lower provisions.

Net interest income of the bank during the Q4FY25 was ₹2,276 crore, up 5.7 per cent from ₹2,153 crore in Q4FY24. NIM during Q4FY25 was 2.5 per cent compared to 2.4 per cent in Q4FY24.

Non-interest income during Q4FY25 was ₹1,739 crore, up 10.9 per cent from ₹1,569 crore in the year ago period. Provisions during the quarter was ₹318 crore, down 32.5 per cent from ₹471 crore in Q4FY24.

Gross NPA ratio of the bank during Q4FY25 was at 1.6 per cent compared to 1.7 per cent in Q4FY25. Net NPA during the quarter was 0.3 per cent compared to 0.6 per cent in Q4FY24.

For the full year, Yes Bank’s net profit ₹2406 crore, up 92.3 per cent from ₹1251 crore in FY24.