HDFC has reported strong growth in pre-provisioning profit in 1QFY17 owing to healthy growth in NII and recognition of income from sale of stake in general insurance arm HDFC ERGO. Its NII grew by 9.3% yoy & -12.3% qoq to Rs24.2bn due to strong growth in loan book and stable NIMs. On-balance-sheet loan book grew by 2.5% qoq & 14.9% yoy due to 3% qoq & 16.1% yoy growth in individual loan segment. Individual loan segment accounted for 88% of incremental loan book in 1QFY17 vs. 66% in 4QFY16 & 82.7% in FY16. Its life insurance arm entered into an agreement to evaluate merger with Max Life Insurance, which would form the largest private life insurance company. As we...