Synopsis : HDFC Bank is set to consider its first-ever bonus shares and a special interim dividend at its board meeting on July 19, reflecting strong financial health and management confidence post-merger. If approved, this move will reward shareholders while signaling the bank’s focus on sustainable growth in FY26.
HDFC Bank, India’s largest private sector lender, has announced that it will consider issuing its first-ever bonus shares and a special interim dividend at its upcoming board meeting on July 19, 2025. This move comes as the bank continues to demonstrate strong financial performance following its merger with HDFC, which was completed on July 1, 2023.
In its regulatory filing, the bank confirmed it will also review and approve the unaudited standalone and consolidated financial results for Q1 FY26 at the same meeting. The record date to identify shareholders eligible for the proposed bonus shares and special dividend is yet to be disclosed.
This potential bonus issue marks a significant milestone for HDFC Bank, which has previously executed stock splits in 2019 and 2011 but has never issued bonus shares before. The bank recently reported a 10.7% rise in net profit to Rs 67,347.4 crore for FY25, alongside a 13% increase in net interest income, reflecting solid operational growth and healthy financial fundamentals.
The bank’s deposits grew 2.5 times faster than loans in FY25, reducing the credit-to-deposit ratio from 110% post-merger to 96%, while CEO Sashidhar Jagdishan emphasized plans to align loan growth with the banking system in FY26 and surpass system growth in FY27.
Shares of HDFC Bank were trading up by 0.62% at Rs 2,007.60, reflecting market optimism ahead of the board’s consideration of these shareholder-friendly actions. Investors will now watch for the official announcement on July 19 and the subsequent record date to determine eligibility for this historic bonus issuance and special dividend.
Disclaimer : This article is for informational purposes only and does not constitute investment advice. Please consult with a financial advisor before making investment decisions.
