HDFC Bank

2021-07-08T18:53:27Z

2601:541:4580:8500:206F:6ECE:F0:AB44: change link

{{short description|Indian private sector bank}}
{{distinguish|Housing Development Finance Corporation}}
{{Use Indian English|date=December 2020}}
{{Use dmy dates|date=December 2020}}
{{Infobox company
| name = HDFC Bank Limited
| logo = HDFC Bank Logo.svg
| logo_size =
| type = [[Public company|Public]]
| traded_as = {{ubl|{{NSE|HDFCBANK}}|{{BSE|500180}}|[[BSE SENSEX|BSE SENSEX Constituent]]|[[NIFTY 50|NSE NIFTY 50 Constituent]]}}
| logo_caption =
| area_served = India
| key_people = {{ubl|Atanu Chakraborty <br /> (Chairman) <ref>{{cite news |url= https://www.thehindu.com/business/Industry/rbi-approves-appointment-of-atanu-chakraborty-as-part-time-chairman-of-hdfc-bank/article34390586.ece|title=rbi-approves-appointment-of-atanu-chakraborty-as-part-time-chairman-of-hdfc-bank|publisher=thehindu.com|access-date=22 April 2021}}</ref>| Sashidhar Jagdishan<br />([[Chief executive officer|CEO]])}}
| owner = [[Housing Development Finance Corporation]] (25.7%)
| ISIN = INE040A01034
| industry = [[Financial services]]|
| products = {{ubl|[[Credit cards]]|[[Retail banking|Consumer banking]]|[[Commercial banking]]|[[Financial services|Finance and insurance]]|[[Investment banking]]|[[Mortgage loan]]s|[[Private banking]]|[[Private equity]]|[[Wealth management]]<ref name="AR201213">{{cite web|url = http://www.moneycontrol.com/financials/hdfcbank/balance-sheet/HDF01|title = Balance Sheet of HDFC Bank|publisher = moneycontrol}}</ref>}}
| revenue = {{Increase}} {{INRConvert|155885|c}}<ref name=pnl>{{Cite web|title=HDFC Bank Consolidated Profit & Loss account, HDFC Bank Financial Statement & Accounts|url=https://www.moneycontrol.com/financials/hdfcbank/consolidated-profit-lossVI/hdf01|access-date=24 August 2020|website=moneycontrol.com|language=en}}</ref>
| revenue_year = 2021
| operating_income = {{Increase}} {{INRConvert|61636|c}}<ref name=pnl/>
| income_year = 2021
| net_income = {{Increase}} {{INRConvert|31857|c}}<ref name=pnl/>
| net_income_year = 2021
| assets = {{Increase}} {{INRConvert|1746870|c}}<ref name=bs>{{Cite web|title=HDFC Bank Consolidated Balance Sheet, HDFC Bank Financial Statement & Accounts|url=https://www.moneycontrol.com/financials/hdfcbank/consolidated-balance-sheetVI/hdf01|access-date=24 August 2020|website=moneycontrol.com|language=en}}</ref>
| assets_year = 2021
| equity = {{Increase}} {{INRConvert|203169|c}}<ref name=bs/>
| num_employees = 1,20,093 (2021)<ref name=arep>{{Cite web|last=Bank|first=HDFC|title=HDFC Bank Annual Report 2021|url=https://www.hdfcbank.com/content/bbp/repositories/723fb80a-2dde-42a3-9793-7ae1be57c87f/?path=/Footer/About%20Us/Investor%20Relation/annual%20reports/pdf/HDFC-Bank-Integrated-Annual-Report-2020-21.pdf |website=hdfcbank.com}}</ref>
| equity_year = 2020
| hq_location_city = Mumbai, [[Maharashtra]]
| hq_location_country = India
| foundation = {{start date and age|df=y|p=y|August 1994}}
| homepage = {{URL|www.hdfcbank.com/}}
| subsid = [[HDFC Securities]]<ref>{{cite web |last1=Securities |first1=HDFC |title=About Us |url=https://www.hdfcsec.com/article/about-us-1647 |website=hdfcsec.com}}</ref><br />HDB Financial Services<ref>{{cite news |title=How HDB Financial Services Can Add To HDFC Bank's Long Rally |url=https://www.moneycontrol.com/news/business/moneycontrol-research/how-hdb-financial-services-can-add-to-hdfc-banks-long-rally-3707561.html |access-date=26 April 2021 |work=Moneycontrol}}</ref>
| footnotes = <ref>{{Cite web|url=https://www.bloomberg.com/markets/stocks|title=Stocks|publisher=Bloomberg L.P.}}</ref><ref>{{Cite web|title=Sashidhar Jagdishan to be the new CEO of HDFC Bank|url=https://www.moneycontrol.com/news/business/markets/sashidhar-jagdishan-to-be-the-new-ceo-of-hdfc-bank-report-5642411.html|access-date=4 August 2020|website=Moneycontrol}}</ref><ref>{{cite web |title=Sashidhar Jagdishan appointed MD & CEO of HDFC Bank; He will take charge on October 27 |url=https://www.thehansindia.com//business/sashidhar-jagdishan-appointed-md-ceo-of-hdfc-bank-he-will-take-charge-on-october-27-651672 |website=the hans india}}</ref><ref>{{cite web |title=Composition of Board of Directors of HDFC Bank|url=https://www.hdfcbank.com/personal/about-us/corporate-governance/composition-of-the-board}}</ref>
}}

'''HDFC Bank Limited''' is an Indian banking and financial services company, headquartered in Mumbai, [[Maharashtra]]. HDFC Bank is India's largest private sector bank by assets<ref>{{Cite web|url=http://www.livemint.com/Companies/zGj86RBk393NGlakNGPfAP/HDFC-Bank-most-valuable-brand-in-India.html|title=HDFC Bank most valuable brand in India: WPP study|date=10 September 2015|website=Livemint|publisher=Livemint}}</ref> and by market capitalisation as of April 2021. It is the third largest company by market capitalisation on the Indian stock exchanges.<ref>{{Cite web|url=http://www.moneycontrol.com/stocks/marketinfo/marketcap/bse/banks-private-sector.html|title=Largest bank by Market capitalization|website=MoneyControl|publisher=MoneyControl}}</ref> It is also the [[List of largest employers in India|thirteenth largest employer in India]] with nearly 120,000 employees.<ref>[https://www.macrotrends.net/stocks/charts/HDB/hdfc-bank/number-of-employees]</ref>

== History ==
HDFC Bank was incorporated in 1994 as a subsidiary of the [[Housing Development Finance Corporation]], with its registered office in Mumbai, [[Maharashtra]], India. Its first corporate office and a full-service branch at Sandoz House, [[Worli]] were inaugurated by the [[Ministry of Finance (India)|Union Finance Minister]], [[Manmohan Singh]].
As of 30 June 2019, the Bank's distribution network was at 5,500 branches across 2,764 cities. The bank also installed 430,000 [[Payment terminal|POS]] terminals and issued 23,570,000 debit cards and 12 million credit cards in FY 2017.<ref name="HDFC Bank">{{cite web|url= https://www.hdfcbank.com/htdocs/common/pdf/corporate/Annual_Report_2016_17.pdf|title=HDFC Bank 2017|access-date=1 December 2017}}</ref> It has a base of 1,16,971 permanent employees as of 21 March 2020.<ref>{{Cite web|url=http://www.hdfcbank.com/|title=HDFC Bank|website=HDFC Bank|publisher=HDFC Bank}}</ref>

== Products and services ==
HDFC Bank provides a number of products and services including [[wholesale banking]], [[retail banking]], treasury, auto loans, two-wheeler loans, [[personal loan]]s, loans against property, consumer durable loan, lifestyle loan and [[credit card]]s. Along with this various digital products are Payzapp and SmartBUY.<ref>{{Cite web|url=http://business.mapsofindia.com/banks-in-india/hdfc/|title=HDFC Bank – About Banking Services, Loans Scheme, Award, Contact Address, and more|website=business.mapsofindia.com|access-date=16 July 2016}}</ref>

==Mergers and acquisitions==
HDFC Bank merged with [[Times Bank]] in February 2000. This was the first merger of two private banks in the New Generation [[Private-sector banks in India|private sector banks]] category.<ref>{{Cite web|url=http://profit.ndtv.com/stock/hdfc-bank-ltd_hdfcbank/reports|title=HDFC Bank: Reports, Company History, Directors Report, Chairman's Speech, Auditors Report of HDFC Bank |website=profit.ndtv.com|access-date=16 July 2016}}</ref> [[Times Bank]] was established by Bennett, Coleman and Co. Ltd., commonly known as [[The Times Group]], India's largest media conglomerate.<ref>{{Cite news|last=Bandyopadhyay|first=Tamal|url=https://www.livemint.com/Industry/R9RVglpE4GP7OdDFN9wRPO/Bank-for-the-buck.html|title=A Bank for the Buck|date=19 November 2012|work=Live Mint|access-date=27 March 2020}}</ref>

In 2008, [[Centurion Bank of Punjab]] (CBoP) was acquired by HDFC Bank. HDFC Bank's board approved the acquisition of CBoP for ₹95.1 billion in one of the largest mergers in the financial sector in India.<ref>{{Cite web|url=http://www.banknetindia.com/banking/80142.htm|title=HDFC Bank to acquire Centurion Bank of Punjab|website=Banknet India|access-date=23 January 2016|archive-date=1 December 2019|archive-url=https://web.archive.org/web/20191201054019/http://www.banknetindia.com/banking/80142.htm|url-status=dead}}</ref>

In 2021, the bank acquired a 9.99% stake in FERBINE, an entity promoted by [[Tata Group]], to operate a Pan-India umbrella entity for retail payment systems, similar to [[National Payments Corporation of India]].<ref>{{Cite web|title=Kotak Mahindra Bank, HDFC Bank To Acquire 9.99% Each In Ferbine|url=https://www.moneycontrol.com/news/business/markets/kotak-mahindra-bank-hdfc-bank-to-acquire-9-99-each-in-ferbine-private-ltd-6578201.html|access-date=2021-03-04|website=Moneycontrol}}</ref>

== Investments ==
[[File:HDFC Bank.jpg|thumb|A HDFC Bank branch in [[Hyderabad]]]]
In March 2020, HDFC (parent company of HDFC BANK) made an investment of ₹1,000 crores in [[Yes Bank]].<ref>{{Cite web|date=16 March 2020|title=HDFC to hold 7.97% stake in Yes Bank after infusing ₹1,000 crore|url=https://www.livemint.com/companies/news/hdfc-to-hold-7-97-stake-in-yes-bank-for-rs-1-000-crore-infusion-11584367566618.html|access-date=8 December 2020|website=mint|language=en}}</ref> As per the scheme of reconstruction of Yes Bank, 75% of the total investment by the corporation would be locked in for three years. On 14 March, Yes Bank allotted 100 crore shares of the face value of ₹2 each for consideration of ₹10 per share (including ₹8 premium) to the Corporation aggregating to 7.97 percent of the post issue equity share capital of Yes bank.<ref>{{Cite news|title=HDFC to hold 7.97% stake in YES Bank after Rs 1,000 crore infusion|work=The Economic Times|url=https://economictimes.indiatimes.com/markets/stocks/news/hdfc-to-hold-7-97-stake-in-yes-bank-after-rs-1000-crore-infusion/articleshow/74658102.cms|access-date=8 December 2020}}</ref>

==Listings and shareholding==

The [[equity shares]] of HDFC Bank are listed on the [[Bombay Stock Exchange]] and the [[National Stock Exchange of India]]. Its [[American depositary receipt]]s are listed on the [[NYSE]] and its [[global depository receipt]]s (GDRs) are listed on the [[Luxembourg Stock Exchange]] where two GDRs represent one equity share in HDFC Bank.<ref name="Shareholding" />

{| class="wikitable"
|-
! Shareholders (as of 31 December 2015) !! Shareholding<ref name="Shareholding">{{cite web |url = http://www.moneycontrol.com/company-facts/hdfcbank/shareholding-pattern/HDF01|title = HDFC bank listing & shareholding|publisher = Money Control}}</ref>
|-
|[[Corporate promoter|Promoter]] group ([[Housing Development Finance Corporation|HDFC]])||26.14%
|-
| Foreign [[institutional investor]]s (FII)||20.4%
|-
| Individual shareholders||8.5%
|-
| Bodies corporate||7.5%
|-
|[[Insurance]] companies||5.38%
|-
|[[Unit Trust of India]]||8.65%
|-
|[[Non-resident Indian and person of Indian origin|NRI]]/OCB/others||0.29%
|-
|[[Financial institution]]s/[[bank]]s||2.75%
|-
|[[American Depositary Share|ADS]]/[[Global depository receipt|GDR]]s||18.78%
|}

== Corporate social responsibility ==
{{Expand section|date=December 2020}}HDFC Bank's Parivartan initiative spent ₹535 crore in FY19-20<ref>{{Cite web|url=https://indiacsr.in/corporate-social-responsibility-csr-hdfc-bank-spends-rs-535-cr-on-community-development-in-fy-2019-20/|title=Corporate Social Responsibility (CSR): HDFC Bank spends Rs. 535 Cr on community development in FY 2019–20|date=26 July 2020}}</ref>

== Controversies ==
[[File:HDFC BANK ATM - Nagarukhra branch (1).jpg|thumb|A HDFC Bank ATM in West Bengal.]]
On 2 December 2020, the [[Reserve Bank of India]] ordered HDFC Bank to temporarily halt the issuance of new credit cards and all planned activities under the bank's Digital 2.0 program citing incidents of outages in the bank's internet banking, mobile banking and payment utility services.<ref>{{Cite web|url=https://www.moneycontrol.com/news/business/rbi-halts-hdfc-bank-digital-activities-asks-bank-to-stop-sourcing-new-credit-card-customers-after-multiple-digital-failures-6183521.html|title=|website=moneycontrol.com}}</ref><ref>{{Cite web|date=2020-12-08|title=Explained: Why RBI has asked HDFC Bank to stop digital launches, new credit card sourcing|url=https://indianexpress.com/article/explained/hdfc-bank-rbi-action-explained-7083629/|access-date=2020-12-08|website=The Indian Express|language=en}}</ref>

On 29 January 2020, Reserve Bank of India imposed a monetary penalty on HDFC Bank for failure to undertake on-going due diligence in case of 39 current accounts opened for bidding in the initial public offer.<ref>{{Cite web|url=https://www.rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=49273|title=RBI imposes penalty on HDFC bank|website=rbi.org.in|access-date=29 January 2020}}</ref>

A HDFC bank manager was arrested on charges of fraud, involving a sum of ₹59.41 lakh, in Odisha.<ref>{{Cite web|url=https://www.newindianexpress.com/states/odisha/2019/sep/16/former-hdfc-bank-manager-arrested-for-rs-5941-lakh-fraud-in-odisha-2034332.html|title=A HDFC bank manager arrested for Rs 59.41 lakh fraud in Odisha|website=The New Indian Express|access-date=16 August 2019}}</ref>

Altico Capital and Dubai's Mashreq Bank have approached the Reserve Bank of India, accusing HDFC Bank of violating regulatory provisions by debiting part of the funds the company had raised through external commercial borrowing (ECB) and parked at the bank. They claimed that HDFC bank's decision to transfer money from the account may be a violation of the RBI's end-use rule.<ref>{{Cite web|url=https://economictimes.indiatimes.com/industry/banking/finance/banking/altico-and-mashreq-approach-rbi-against-hdfc-bank/articleshow/71546523.cms|title=Altico and Mashreq approach RBI against HDFC Bank|website=The Economic Times|access-date=13 October 2019}}</ref>

==Awards and recognition==
===2020===
*India's Best Bank : Euromoney Awards<ref>{{Cite web|last=Bank|first=HDFC|title=Press Release|url=https://www.hdfcbank.com/personal/about-us/news-room/press-release}}</ref>

===2019===
*Best Bank: New Private Sector – FE Best Bank awards<ref>https://www.hdfcbank.com/content/api/contentstream-id/723fb80a-2dde-42a3-9793-7ae1be57c87f/7a11082e-9cf6-4c4f-9de3-7e9ff409ba76?</ref>
*Winner in Innovation and Inclusiveness in Priority Sector Lending – 11th Inclusive Finance India Awards (IFI) 2019<ref>https://www.hdfcbank.com/content/api/contentstream-id/723fb80a-2dde-42a3-9793-7ae1be57c87f/97fcd69c-ffa7-4bac-ab8f-d123ad88d8aa?</ref>
*Ranked 1st in 2019 BrandZ Top 75 Most Valuable Indian Brands HDFC Bank was featured for the 6th consecutive year.<ref>{{Cite web|url=https://www.thehindubusinessline.com/money-and-banking/hdfc-bank-retains-ranking-as-indias-valuable-brand/article29533162.ece|title=HDFC Bank retains ranking as India's valuable brand|first=Our|last=Bureau|website=@businessline}}</ref>
*''Among The Most Honored Company List,'' Institutional Investor All-Asia (ex-Japan) Executive Team 2019 survey<ref>{{Cite web|url=https://www.hdfcbank.com/htdocs/aboutus/awards/pdf/Institutional-Investor-August-2019.pdf|title=HDFC Bank Awards - Consistently Awarded among India’s Best Bank}}</ref>
*''India’s Best Bank,'' Euromoney Awards for Excellence 2019<ref>{{Cite web|url=https://www.hdfcbank.com/htdocs/aboutus/awards/pdf/Indias-Best-Bank-June-11-2019.pdf|title=HDFC Bank Awards - Consistently Awarded among India’s Best Bank}}</ref>
*''Bank of the Year and Best Large Bank,'' Business Today – Money Today Financial Awards 2019<ref>{{Cite web|url=https://www.hdfcbank.com/htdocs/aboutus/awards/pdf/Business-Today-Best-Bank-Awards-March-2019.pdf|title=Business Today – Money Today Financial Awards 2019}}</ref>
*''Best Bank in India 2019'', by Global magazine FinanceAsia.<ref>{{Cite web|url=https://www.zeebiz.com/companies/news-hdfc-bank-bags-the-best-bank-in-india-title-by-financeasia-magazine-expect-this-big-measures-in-2019-from-the-lender-103730|title=HDFC Bank bags the 'Best Bank in India' title by FinanceAsia magazine – expect this big measures in 2019 from the lender|date=28 June 2019|website=Zee Business|language=en|access-date=28 June 2019}}</ref>
*''Ranked 60th in 2019 BrandZ Top 100 Most Valuable Global Brands''<ref name=":0">{{cite web|url=http://www.millwardbrown.com/brandz/rankings-and-reports/top-global-brands/2019|title=Millward Brown – Top Global Brands 2019|publisher=hdfcbank.com}}</ref> HDFC Bank was featured BrandZ Top 100 Most Valuable Global Brands 2019 for the 5th consecutive year. The Bank's brand value has gone up from $20.87 billion in 2018 to $22.70 billion in 2019.
*''Best Large Bank'' & ''Fastest Growing Large Bank in 2019,'' by Business World Magna Awards<ref>{{Cite web|url=https://www.hdfcbank.com/htdocs/aboutus/awards/pdf/Businessworld_Best_Bank_Awards_May_15_2019.pdf|title=Business world Magna Awards}}</ref>

===2016===
*''Best Banking Performer, India'' in 2016 by Global Brands Magazine Award.<ref name="gbm-2016">{{Cite web|url=https://globalbrandsmagazine.com/award-winners-2016/|title=AWARD WINNERS 2016}}</ref>
*Best Performing Branch in [[Microfinance]] among private sector banks by NABARD, 2016, Award for Best Performance in Microfinance<ref>{{Cite web|url=http://timesofindia.indiatimes.com/business/india-business/HDFC-Bank-wins-microfinance-award-from-NABARD-in-Goa/articleshow/50689010.cms|title=HDFC Bank wins microfinance award from NABARD in Goa|date=22 January 2016|website=The Times of India|language=en-US|access-date=1 March 2016}}</ref>
*[[KPMG]] study of India's Best Banks, Bank of the year & best digital banking initiative award 2016<ref>{{Cite web|url=http://www.businesstoday.in/best-banks/2015/|title=Bank of the Year/ Digital Bank: HDFC BANK|website=Business Today|access-date=1 March 2016}}</ref>
*BrandZ Rankings, Most Valued brand in India for third successive year<ref>{{Cite web|url=http://www.livemint.com/Companies/eI61qLHbac71dNwx9J8NLM/HDFC-Bank-is-still-Indias-most-valuable-brand-Brandz-ranki.html|title=livemint|date=22 September 2016|website=HDFC Bank is still India's most valuable brand: Brandz ranking}}</ref>
*[[FinanceAsia]] poll on Asia's Best Companies 2015, Best managed public company – India<ref>{{Cite web|url=http://www.financeasia.com/News/395561,asias-best-managed-companies-part-3.aspx|title=Asia's best managed companies, part 3|date=20 March 2015|website=FinanceAsia}}</ref>
*[[J. P. Morgan]] Quality Recognition Award, Best in class straight through processing rates<ref>{{Cite web|url=http://www.mbaskool.com/fun-corner/top-brand-lists/13474-top-10-banks-in-india-2015.html?start=4|title=Top 10 Banks in India 2015|website=MBA Skool}}</ref>

== Further reading==
* {{cite book |last=Bandyopadhyay |first=Tamal |date=2013 |title=A Bank for the Buck |title-link=A Bank for the Buck |publisher=Jaico Publishing House |pages=344 |isbn=978-8184953961|author-link=Tamal Bandyopadhyay }}
* {{cite book |last=Bandyopadhyay |first=Tamal |date=2019 |title=HDFC Bank 2.0: From Dawn to Digital |publisher=Jaico Publishing House |isbn=9789388423359|author-link=Tamal Bandyopadhyay }}

==See also==
{{Portal|Banks}}
* [[Aditya Puri]]
* [[Banking in India]]
* [[List of banks in India]]
* [[Reserve Bank of India]]
* [[List of companies of India]]

==References==
{{reflist}}

==External links==
{{Commons category|HDFC Bank}}
*{{Official website}}
*{{Finance links
| name = HDFC Bank
| symbol = HDB
| sec_cik = 1144967
}}

{{HDFC Group}}
{{Nifty 200 companies}}
{{Financial services in India|state=collapsed}}

{{Authority control}}

{{DEFAULTSORT:HDFC Bank}}
[[Category:Companies listed on the New York Stock Exchange]]
[[Category:Banks of India]]
[[Category:BSE SENSEX]]
[[Category:NIFTY 50]]
[[Category:Companies listed on the Bombay Stock Exchange]]
[[Category:Financial services companies based in Mumbai]]
[[Category:Banks established in 1994]]
[[Category:Indian brands]]
[[Category:Public Sector Banks in India]]
[[Category:HDFC Group]]
[[Category:Private sector banks in India]]
[[Category:1994 establishments in Maharashtra]]

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