HDFC Bank (HDFCBK) reported PAT of INR 50.1 bn, +21% yoy/9% qoq translating into ROA/ROE of 1.8%/15.2%. Advances growth at 24.1% yoy/6% qoq was commendable given the tough environment, driven by 24% yoy growth in retail and 25% yoy growth in corporate book (loan mix retail/ corporate stands at 53%/47%). Unsecured lending continued to grow at hgiher rates with PL up 37% yoy and CC up 31% yoy. Business banking (BB) is witnessing growth taper off with yoy growth at 19% (vs. 45% avg over Mar'17-Jun'18). Auto grew by 16% yoy and CE/CV grew by 26% yoy. Though the bank is witnessing some pricing pressure in the CE/CV segment on account of competition, yields on the incremental book are higher. NII growth at 21% yoy/9% qoq lagged loan book growth (on yoy basis) on account of NIM compression (-10 bps yoy). Sequentially, NIMs were up around 10 bps, benefitting from the capital raise done during the quarter. Considering the rising rates scenario, the bank has been prudent in parking funds in tbills/bonds in order to create liquidity on the balance sheet (LCR at 118%). CASA, up 18% yoy (vs. deposits growth of 21% yoy), stood at 42%. The bank...