Shares of HDFC Bank’s ADRs spiked 5.5% in U.S. trading after the bank named Anup Bagchi as its new MD & CEO, lifting the NYSE‑listed ADR from ₹1,735 to ₹1,818. The rally echoes investor hope that fresh leadership will reverse a 30% slide the bank has experienced since the start of the year.
In its June‑quarter filing, HDFC Bank reported net interest income of ₹33,534 crore, up 6.7% year‑on‑year, yet missing the ₹34,353 crore consensus estimate. Net profit climbed 5% to ₹19,059 crore, falling short of the ₹19,332 crore forecast, while provisions rose to ₹3,059 crore from ₹2,609 crore, tightening the buffer against potential loan losses.
The bank’s net interest margin fell to a record low of 3.26%, down from 3.4% a year earlier and from 3.38% in the March quarter, signaling pressure on the core earnings engine even as gross advances grew 15.4% to ₹30.61 lakh crore.
HDFC Bank’s ADR has been trading close to its 52‑week low of ₹1,700, a 30% correction from the year‑beginnings, and the stock has logged negative returns in seven of the past nine months—its worst calendar year since 2008. The leadership change removes a lingering succession uncertainty that had weighed on sentiment.
Looking ahead, the bank will announce Q2 results on November 15, and board approval for Bagchi’s tenure will be sought in early December. Analysts are monitoring the upcoming guidance for any shift in risk appetite or capital allocation plans as the bank navigates a tighter net interest margin environment.