SREE NARAYANA GURU COLLEGE OF COMMERCE

CHEMBUR, MUMBAI-89

TOPICCAMPARISON BETWEEN ICICI AND HDFC BANK

PERFORMANCE BETWEEN 2015-16

[A Project Submitted for the partial fulfilment of

Environment bachelor of Investment management (BIM)]
Under Mumbai University

Submitted toMrs. Deepali Garge

(Project Research Guide)
Department of Innovative Programme

Submitted byQURESHI KANIZ FATIMA FAZAL MAHMOOD

Roll No. 03
BIM Investment Management

SREE NARAYANA GURU COLLEGE OF COMMERCE

CHEMBUR, MUMBAI-89

CANDIDATES DECLARATION
I hereby declare that the Project Report Entitled, Comparison Between ICICI And
HDFC Bank Performance Between 2015-16 is the result of research project
undertaken towards partial fulfillment of the third year degree of BIM Bachelor of
Investment Management), Sree Narayana Guru College of Commerce, Chembur,
Mumbai, affiliated under Mumbai University, under the project work which carries 100
marks and 4 credits. This is a piece of work done by me under the guidance of Mrs
Deepali Garge, Department of Management (Innovative Programme).

The Project has not been submitted for award of any other degree, elsewhere in part or
full.

Qureshi kaniz Fatima

SREE NARAYANA GURU

COLLEGE OF

COMMERCE
CHEMBUR, MUMBAI-89

CERTIFICATE
Certified that this project CAMPARISON BETWEEN ICICI AND HDFC BANK
PERFORMANCE BETWEEN 2015-16 is the record of the bonafide project work done
by Ms .Qureshi kaniz Fatima , Roll No. 03. Semester 5, BIM Bachelor of investment
management (BIM) under my supervision and guidance, under the Department of
Management (Innovative programme). The project has not previously formed the basis for
the award of any degree, diploma, fellowship or other similar title of recognition.

Ms.Qureshi kaniz Fatima

(Project Guide)
Assistant Professor
Dept. of Management
(Innovative Programme)

ACKNOWLEDGEMENTS
A number of individual have contributed in this undertaking. Their advice and counsel have
been of immense help in bringing out this project. I have tried to cover all the key people
from whom I have drawn the material for this work.
I am grateful to Dr. Ravindran K., Principal; Sree Narayana Guru College of Commerce,
Chembur, Mumbai, who provided all necessary support, in terms of providing valuable and
required study material in library for preparation of the Project.
I am indebted to my project guide, Mrs Deepali Garge, Assistant Professor, Department of
Innovative Programme, Sree Narayana Guru College of Commerce, for her guidance and
suggestions on completing this project.
I am thankful to Mrs. Bina Sarkar, Coordinator, Dept. of Innovative Programme, Sree
Narayana Guru College of Commerce for having her spared time out of her extremely busy
schedule in providing on overall perspective of the project, its preparation.
I am also grateful to the respondent who actively participated in my project and helped me in
getting data for the study.
Finally, I am indebted to the Faculty members and entire staff of the department for their
co-operation, understanding and support while shaping the project.
I would be failing in my duty if I do not acknowledge the help and support of my family,
friends and all other people who have been a source of motivation in completing this project.

Qureshi kaniz Fatima .

CAMPARISON BETWEEN ICICI AND HDFC

BANK PERFORMANCE BETWEEN 2015-16

V/S

CONTENTS
TOPIC
ACKNOWLEDGEMENT
RESEARCH METHODOLOGY
OBJECTIVE
INTRODUCTION
DATA ANALYSIS
LIMITATION
CONCLUSION
BIBLOGRAPHY

ACKNOWLEDGEMENT
To acknowledge all the persons who had helped for the fulfilment of the project is
not possible for any researcher but in spite of all that it becomes the foremost responsibility
of the researcher and also the part of
researche t h i c k s t o a c k n o w l e d g e t h o s e w h o h a d p l a y e d a g r e a t
r o l e f o r t h e completion of the
project.The text contain in this report is the manifestation of learning Processthat began for
me over 1 month ago. During the intervening period I have come across some wonderful
people in the form of Relatives, friends or acquaintances from I have learnt immensely
.While it is not possible to name them individually I would like to express a deep sense
of gratitude towards them.``
No amount of thank can ever repay the great debt that I owe My Faculty guide Mrs. Deepali
Gadge who has provided me constant inspiration over the past one year. In fact, this report
would not have been possible but for the direct and indirect Support, inspiration and guidance
from Deepali maam who has been a constant mentor in my efforts over the few months. Rest
all those people who helped me are not only matter of acknowledgment but also authorized
for sharing my success.

Research Methodology
R es earch me thodolog y is a s ys te mat ic w a y, w hich cons is ts of s econdar y
data of action steps, necessary to effectively carry out research and the desired
sequencing to these steps. The secondary research is a process of involves
a number of inter-related activities,
which overlap and do rigidly follow a
Particular sequence. It consists of the following steps:Objective of study
Research Design
Sample Design
Data Collection

OBJECTIVE
To check the performance of ICICI bank & HDFC Bank in 2015-16 financial year.

Chapter -1

INTRODUCTION
Banking is the backbone of a modern economy. Health of banking
industry is one of the most important pre-conditions for sustained economic progress of
any country. The world of banking has assumed a new dimension at the dawn
of the 21st
Century with the advent of tech banking, thereby lending the industry a stamp of
universality. In general, banking may be
Classified as retail and corporate banking. Retail banking, which is designed to
meet the requirements of individual customers and encourage their savings, includes
payment of utility bills, consumer loans, credit cards, checking account balances,
ATMs, transferring funds between accounts and the like. Corporate banking, on
the other hand, caters to the needs of corporate customers like bills discounting,
opening letters of credit and managing cash.
The Indian banking scene has changed drastically with the private sector making
inroads in an area hitherto dominated by large public sector banks. Growing
disinvestment is likely to impact the banking industry
asw e l l . T h e r e i s e v e r y p o s s i b i l i t y o f p r i v a t i z a t i o n o f p u b l i c s e c t o r b a n k
s , leading to greater operational
autonomy.T h e d e v e l o p m e n t o f t h e I n d i a n b a n k i n g s
e c t o r h a s b e e n accompanied by the introduction of
n e w n o r m s s u c h a s I n c o m e Recognition and Capital Adequacy, by the
government. The latter implies that banks can lend on the basis of their respective
capital base. These norms have caused banks to construct equity on their own, before
going inform debt. Disintermediation is a real threat for banks. Of late, banks
areadopting the EVA (Economic Value Added) concept wherein revenues are
viewed in the context of the risk associated with them. The New World order has
ensured "Survival of the Fittest". New services are the order of the day, in order
to stay ahead in the rat race.

10

COMPANY PROFILE
ICICI Bank is India's second-largest bank with total assets of about Rs. 1trillion
and a network of about 540 branches and offices and over 1,000 ATM s . I C I C I
B a n k o f f e r s a w i d e r a n g e o f b a n k i n g p r o d u c t s a n d f i n a n c i a l services to
corporate and retail customers through a variety of delivery channels and through its
specialized subsidiaries and affiliates in the
areaso f i n v e s t m e n t b a n k i n g , l i f e a n d n o n - B a n k i n g , v e n t u r e
c a p i t a l , a s s e t management and information technology. ICICI Bank's equity
shares are listed in India on stock exchanges at Chennai, Muzaffar nagar, Kolkata and
Vadodara, the Stock Exchange, Mumbai and the National Stock Exchange of India
Limited and its American Depositary Receipts (ADRs) are listed on the New York Stock
Exchange (NYSE).
ICICI Bank was originally promoted in 1994 by ICICI Limited, an
Indianf i n a n c i a l i n s t i t u t i o n , a n d w a s i t s w h o l l y o w n e d s u b s i
d i a r y . I C I C I ' s shareholding in ICICI Bank was reduced to 46% through a public
offering of shares in India in fiscal 1998, an equity offering in the form of ADRs listed o n
the NYSE in fiscal 2000, ICICI Bank's acquisition of Bank of Madura
Limited in an all-stock amalgamation in fiscal 2001, and secondary market sales by ICICI to
institutional investors in fiscal 2001 and fiscal 2002. ICICI was formed in 1955 at the
initiative of the World Bank, the Government of India and representatives of Indian industry.
The principal objective was to create a development financial institution for providing
medium-term andl o n g term project financing to Indian businesses. In the 1990s, ICICI
transformed its business from a development financial institution offering only project
finance to a diversified financial services group offering a wide variety of products and
services, both directly and through a number of subsidiaries and affiliates like
ICICI Bank. In 1999, ICICI become the first Indian company and the first bank
or financial institution from non-Japan Asia to be listed on the
NYSE. A f t e r c o n s i d e r a t i o n o f v a r i o u s c o r p o r a t e s t r u c t u r i n g a l t e r n a t i v e s i
n thec o n t e x t o f t h e e m e r g i n g c o m p e t i t i v e s c e n a r i o i n t h e I n d i a n
b a n k i n g industry, and the move towards universal banking, the managements
of ICICI and ICICI Bank formed the view that the merger of ICICI with ICICI
Bank would be the optimal strategic alternative for both entities, and
would create the optimal legal structure for the ICICI group's universal
banking strategy. The merger would enhance value for ICICI
shareholderst h r o u g h t h e m e r g e d e n t i t y ' s a c c e s s t o l o w - c o s t
d e p o s i t s , g r e a t e r opportunities for earning fee-based income and the ability to
participate int h e p a y m e n t s s y s t e m a n d p r o v i d e t r a n s a c t i o n b a n k i n g s e r v i c e s . T h e merger would enhance value for ICICI Bank
shareholders through a large c a p i t a l b a s e a n d s c a l e o f o p e r a t i o n s , s e a m l e s s
a c c e s s t o I C I C I ' s s t r o n g corporate relationships built up over five decades, entry into
new business segments, higher market share in various business segments, particularly f e e based services, and access to the vast talent pool of ICICI and its
subsidiaries. In October 2001, the Boards of Directors of ICICI and ICICI B a n k
approved the merger of ICICI and two of its wholly owned retail
finances subsidiaries, ICICI Personal Financial Services Limited and ICICI
Capital Services Limited, with ICICI Bank. The merger was approved
by shareholders of ICICI and ICICI Bank in January 2002.
11

HISTORY
ICICI Bank has signed an agreement to use the NCR switc
h m a r k t e c h n o l o g y f o r o n l i n e - n e t w o r k i n g a l l i t s ATM s , t h e
o f f i c i a l s s a i d t h e y network would come into place in September. ICICI Bank
recently restructured its organizational structure by setting up strategic business units for
retail banking, corporate banking and fore and treasury operations, as independent profit
centres. ICICI is all set to launch a 60-second television commercial on August 15,
1999.2000ICICI B a n k b e c a m e t h e f i r s t I n d i a n b a n k t o l i s t o n t h e N e w Yor k
Stock E x c h a n g e w i t h i t s $ 1 7 5 - m i l l i o n A m e r i c a n d e p o s i t o r y
s h a r e s i s s u e generating a demand book 13 times its size at $2.2
billion.T h e B a n k p r o p o s e s t o b r i n g c r e d i t c a r d s t o t h e " l a r g e , u n d e
r s e r v e d population" in rural and semi-urban areas.
Sky Cell Communications Ltd, one of the two cellular service providers in
Chennai, has launched `Sky Banking', for which the company has tied up with
ICICI Bank and HDFC Bank. T h e I C I C I h a s a n n o u n c e d t h e l a u n c h o f m o b i l e
b a n k i n g s e r v i c e s f o r i t s customers, using the wireless application protocol (WAP)
technology. Ford India has tied up with ICICI Bank to introduce a scheme,
enabling on-resident Indians (NRIs) to purchase a Ford Icon car for their friends
and relatives in
India.I C I C I B a n k h a s s e t u p a n A T M f a c i l i t y a t a n I n d i a n O i l
C o r p o r a t i o n petro diesel outlet at Chennai. ICICI Bank has tied up with Chennai
Telephones to provide Internet bill payment facility to its customers.

12

B a n ki n g s t r u ct u re
T h e I n d i a n b a n k i n g i n d u s t r y, w h i c h h a s R e s e r v e B a n k o f I n d i a a s i t s
r e g u l a t o r y authority, is a mix of the public sector, private sector, and foreign
banks. The private sector banks are again split into old banks and new banks.
SCHEDULED BANKS
Scheduled commercial banks are those that come under the purview o f t h e S e c o n d
S c h e d u l e o f R e s e r v e B a n k o f I n d i a ( R B I ) Ac t , 1 9 3 4 . T h e b a n k s t h a t a r e
i n c l u d e d u n d e r t h i s s c h e d u l e a r e t h o s e t h a t s a t i s f y t h e criteria laid down vide
section 42 (60 of the Act). Some co-operative banks come under the category of
scheduled commercial banks though not Alc o-operative banks.
PUBLIC SECTOR BANKS
Public sector banks are those in which the Government of India or the RBI is a
majority shareholder. These banks include the State Bank of I n d i a ( S B I ) a n d
its subsidiaries, other nationalized banks, and Regional Rural Banks
(RRBs). Over 70% of the aggregate branches in India
aret h o s e o f t h e p u b l i c s e c t o r b a n k s . S o m e o f t h e l e a d i n g b a n k s i
n t h i s segment include Allahabad
Bank, Canara Bank, Bank of Maharashtra, Central Bank of India, Indian
Overseas Bank, State Bank of India,
StateB a n k o f P a t i a l a , S t a t e B a n k o f B i k a n e r a n d J a i p u r
, S t a t e B a n k o f Travancore, Bank of Baroda, Bank of India, Oriental
Bank of Commerce, CO Bank, Union Bank of India, Dena Bank and Corporation Bank.

PRIVATE SECTOR BANKS

Private Banks are essentially comprised of two types: the old and the new. The old private
sector banks comprise those, which were operating b e f o r e B a n k i n g
N a t i o n a l i z a t i o n Ac t w a s p a s s e d i n 1 9 6 9 . O n a c c o u n t
of t h e i r s m a l l s i z e , a n d r e g i o n a l o p e r a t i o n s , t h e s e b a n
k s w e r e n o t nationalized. These banks face intense rivalry from the new private
banksa n d t h e f o r e i g n b a n k s . T h e b a n k s t h a t a r e i n c l u d e d i n t h i s s e
g m e n t include: Bank of Madura Ltd. (now a part of ICICI Bank), Bharat
Overseas Bank Ltd., Bank of Rajasthan, Karnataka Bank Ltd., Lord Krishna Bank Ltd., The
Catholic Syrian Bank Ltd., The Dhanalakshmi Bank Ltd., The Federal Bank Ltd.,
The Jammu & Kashmir Bank Ltd., The Karur Vysya Bank Ltd., The Lakshmi
Vilas Bank Ltd., The Nedungadi Bank Ltd. and Vysya
Bank.T h e n e w p r i v a t e s e c t o r b a n k s w e r e e s t a b l i s h e d w h e n t
h e B a n k i n g Regulation Act was amended in 1993. Financial institutio
n s p r o m o t e d several of these banks. After the initial licenses, the RBI has
granted no more licenses. These banks are gearing up to face the foreign banks
by f o c u s i n g o n s e r v i c e a n d t e c h n o l o g y. C u r r e n t l y, t h e s e b a n k s a r e o n a n
expansion spree, spreading into semi-urban areas and satellite towns. The leading banks
that are included in this segment include Bank of Punjab Ltd., Centurion Bank
Ltd., Global Trust Bank Ltd., HDFC Bank Ltd., ICICI Banking Corporation Ltd.,
IDBI Bank Ltd., Hindustan Bank Ltd. and UTI Bank Ltd.
13

FOREIGN BANKS
The operations of foreign banks, though
similar to that of other commercial Indian banks, are mainly confined t
o m e t r o p o l i t a n a r e a s . F o r a y o f f o r e i g n b a n k s d e p e n d s o n r e c i p r o c i t y, e c o
n o m i c a n d p o l i t i c a l bilateral relations. An inter-departmental committee has
been set up to endorse applications for entry and expansion. Foreign banks,
in the takeoff the liberalization era, are looking to expand and diversify. Some of
thel e a d i n g f o r e i g n b a n k s t h a t o p e r a t e i n I n d i a a r e C i t i b a n k
, S t a n d a r d Chartered Grindlays Bank, Hong Kong Shanghai Banking C
o r p o r a t i o n , B a n k o f Am e r i c a , D e u t s c h e B a n k , D e v e l o p m e n t B a n k o f
S i n g a p o r e a n d Banquet National De Paris.
PUBLIC SECTOR BANKING AT A DISADVANTAGE
Functioning of Public Sector Banks (PSBs), which are yet to
achievec o m p u t e r i z a t i o n a c r o s s t h e b o a r d , i s a t a r e l a t i v e d i s a d v a n t a g e w
h e n compared to the private sector, which is offering state-of-the-art facilities such as ATMs,
doorstep banking, banking on phone, and net banking. PSBs also suffer from huge costs
of labour and low levels of automation. At this r a t e , i t m a y n o t b e l o n g
b e f o r e n e w c h a n n e l s d e v i s e d b y p r i v a t e b a n k s effectively surpass the number of
branch networks offered by the PSBs. This apart, the problems which
have assumed enormous proportion t o d a y a s f a r a s P u b l i c S e c t o r b a n k s a r e
c o n c e r n e d a r e b a l l o o n i n g N PA levels, declining margins, poor credit off-take, high
overheads, and lack of good quality assets. Banks are sticking to reliable borrowers for fear
of bad debts. In fact, banks largely invest in government securities, which
have zero risk. With GOI being the single largest borrower, the yields on these
securities determine the interest rates. The government aims to decrease its
shareholding in PSBs to 33%, however, at the same time it also wants to retain
the controlling stake. This, it is feared, is not going to solve the problems which PSBs are
coping with now.

14

Chapter -2

INTRODUCTION
The topic of COMPARISION BETWEEN ICICI AND HDFC BANK: Banking is
the back bone of a modern economy. Health of banking industry is one of the most important
pre-c o n d i t i o n s f o r s u s t a i n e d e c o n o m i c p r o g r e s s
o f a n y c o u n t r y. T h e w o r l d o f b a n k i n g h a s assumed a new dimension at the
dawn of the 21st
Century with the advent of tech banking, thereby lending the industry a stamp of
universality. In general, banking may be classified as retail and corporate banking.
Retail banking, which is designed to meet the requirements of individual customers
and encourage their savings, includes payment of utility bills, consumer
Loans, credit cards, checking account balances, ATMs, transferring funds
between
accountsa n d t h e l i k e . C o r p o r a t e b a n k i n g , o n t h e o t h e r h a n d , c a t e r
s t o t h e n e e d s o f c o r p o r a t e customers like bills discounting, opening letters of
credit and managing cash.
The Indian banking scene has changed drastically with the private sector making
inroads in an area hitherto dominated by large public sector banks. Growing
disinvestment is likely to impact the banking industry
asw e l l . T h e r e i s e v e r y p o s s i b i l i t y o f p r i v a t i z a t i o n o f p u b l i c s e c t o r b a n k
s , leading to greater operational
autonomy.T h e d e v e l o p m e n t o f t h e I n d i a n b a n k i n g s
e c t o r h a s b e e n accompanied by the introduction of
n e w n o r m s s u c h a s I n c o m e Recognition and Capital Adequacy, by the
government. The latter implies that banks can lend on the basis of their respective
capital base. These norms have caused banks to construct equity on their own, before
going into debt. Disintermediation is a real threat for banks. Of late, banks
areadopting the EVA (Economic Value Added) concept wherein revenues are
viewed in the context of the risk associated with them.

15

HISTORY AND COMPANY PROFILE

1994 - The Bank was incorporated on 30th August. A new private sector Bank promoted by
housing Development Corporation Ltd. (HDFC), a premier housing finance company. The
bank is the first of its kind to receive an in-principle approval from the RBI for establishment
of a bank in the private sector. Certificate of Commencement of Business was received on
10th October 1994 from RBI.
- The Bank transacts both traditional commercial banking as well as investment banking.
HDFC, the promoter of the bank has entered into an agreement with National We sinister
Bank Pc. and its subsidiaries (NatWest Group) for subscribing 20% of the banks issued
capital and providing technical assistance in relation to the banks proposed banking business.
1995
- 70 No. of equity shares issued to subscribers to the Memorandum & Articles of Association
on 30th August 1994. On the same date 500,00,000 equity shares were allotted to HDFC
promoters. 509,20,000 shares were allotted to HDFC Employees Welfare Trust and HDFC
Bank Employees Welfare Trust on 22nd December, 1994.
- On 16.1.1995, 90,79,930 No. of equity shares were allotted to Jarring ton. Ltd. Another
400,00,000 equity shares were allotted on private placement basis to NatWest Group on
9.5.1995. 500,00,000 shares were allotted to the public on 9.5.95 (all were taken up).
- The Bank opened its first branch in Ramon House at Church gate, Mumbai on January 16th.
- The Bank has created an efficient operating system using well tested state-of-the-art
software.
1996
- HDFC Bank has entered the banking consortia of over 50 corporate, including some leading
multinational companies, flagship companies of local business houses and strong public
sector companies.
- HDFC Bank has set up a state-of-the-art dealing room to handle all transactions possible in
Indian financial markets.
- The Certificates of Deposits were awarded a PP1+ rating which is the highest rating for
short term instruments indicating superior capacity for repayment.
1997
- The bank is one of the largest mobilizes of retail deposits through its network of 20
branches. Its credit deposits ratio was 53.8%.
- The bank has set up a ultra-modern hub at PowaI in Mumbai where the bank's central
16

computer is housed. This hub housed in 35,000 square feet of space, houses data of all the
branches and facilitates the introduction of new products and services.
- HDFC has installed state-of-the-art systems to facilitate inter-connectivity between branches
and link up with on line system.
- The bank has also recently signed up as a depository participant, under the newly set up
NSDL, wherein the members clearing accounts settlement for dematerialised shares can be
done through the bank.
- HDFC Bank, one of the nine new-generation private sector banks, has planned to set up an
all-India on-line automated teller machine (ATM) network.
- HDFC Bank proposed to launch tele-banking for the first time in June in Mumbai at its
Chandiveli branch.
- HDFC Bank has drawn up plans to become a niche player in corporate banking by sticking
to top-rung corporate.
- HDFC Bank has become the first private sector bank to conclude a structured interest rate
option deal.
- HDFC Bank has launched its Versova branch, the 11th branch in Mumbai.
- HDFC Bank, as part of its expansion plans in the South, has opened another branch in
Chennai.
- HDFC Bank has entered into strategic alliances with 10 overseas banks to provide
customers with a wide range of derivatives including interest rate and foreign currency
swaps.
- HDFC Bank on October 14 introduced ATMs that converse in a regional language.
- HDFC Bank has introduced the Freedom Account for the average retail customer located in
the major metros as a means to wean away the middle-income market from nationalised
banks.
- HDFC Bank has launched an account in all its 28 branches across India that seeks to free
depositors from minimum balance requirement, for the first time in the country.
- HDFC has introduced a new loan product for the payment of betterment fees announced by
the Bangalore Mahanagar Palike. - HDFC Bank is all set to launch its debit card by April
1998.
1998

17

- HDFC Bank has tied up with the Ahmadabad Stock Exchange (ASE) to act as its clearing
bank.
- HDFC Bank proposes to strengthen its branch network in Calcutta with the addition of two
new branches in the first quarter of the next fiscal.
- HDFC Bank has signed an agreement with the National Stock Exchange (NSE) which will
give it a second charge over the brokers deposit for providing loan against share facility to
NSE brokers.
- The bank has also entered into a similar understanding with the Bombay Stock Exchange
(BSE) whereby the bourse will provide support for recovery of money against the card for
loan against share facility.
- The bank has also entered into `Cirrus' arrangements by which all master card holders
across the globe will be able to transact at HDFC Bank in India.
- The bank will also provide phone-banking facility in Bangalore. HDFC has tied up with
Visa International to offer its Debit Card. - HDFC Bank Ltd has entered into a memorandum
of understanding for strategic business collaboration with Chase Manhattan Bank.
- HDFC Bank has become the first bank in India to link up its automated teller machine
(ATM) network with all the three major payment systems world-wide.
- HDFC Bank will be the first bank in the Asia-Pacific region to connect the American
Express (Amex) payment system.
- The HDFC Bank is expanding its ATM network to connect to American Express
Interchange based in Phoenix, Arizona, USA. With this connectivity, HDFC Bank has
become the first bank in the Asia-pacific region to connect to the Amex Interchange.
- HDFC Bank was the first to sign up with AMEX in December of 1998.
- The Bank has tied up with ITC Thread needle Mutual Fund to provide its investors with the
High Interest Fund (HIF), a facility to encase their units through the bank's Automated Teller
Machines in addition to a cheque book facility also to be provided by the bank.
- Sony India Ltd (SIL) has joined hands with HDFC Bank to work out an innovative car
finance package under which a Sony car audio system would be installed to a new car for no
additional upfront cash outflow.
- The bank has decided to issue 1, 33,10,000 equity shares of Rs. 10 each to HDFC and a
wholly-owned subsidiary of it at a price of Rs. 94 per share.

18

- The bank will also issue 13,70,000 equity shares to India Private Equity Fund and 51,20,000
shares to In ocean Financial Holding, the two equity funds controlled by Chase Manhattan
Bank.
- HDFC Bank, has tied up with BPL Ltd to offer Internet-enabled supply-chain management
and business-to-consumer (B2C) e-commerce services to corporate.
- Hutchison Max Telecom and HDFC Bank introduced the country's first-ever mobilebanking services in the city.
2000
- HDFC Bank also signed a memorandum of understanding with Singapore Telecom's ecommerce arm Sesami.Com Pvt Ltd. - The Bank latter also entered into a partnership
agreement with National Computer Systems, the e-commerce unit of SingTel.
- A new company called SESAMi.com (India) has been formed by a strategic alliance
between HDFC Bank and Singapore Telecom's e-commerce company SESAMi.com, to offer
e-commerce solutions for the Indian market.
- HDFC Bank has a tie-up with Maxtouch for giving the facility to the latter's customers in
Mumbai. This is the first and only service of this sort in the country, he said.
- HDFC Bank is also launching an online electronic banking solution called Enter which will
allow corporate to access their accounts over the net and carry out trade related transactions
and cash management functions.
- HDFC Bank entered into a tie-up with Telco by which the bank would provide preferential
financing options for Tata's range of passenger cars including the India, Sumo, Safari, Estate
and Sierra.
- HDFC Bank allotted 1.98 core shares of Rs 10 each at an issue price of Rs 94 per share to
promoters and strategic investors on March 29.
- HDFC Bank is also set to become the first bank in the country to offer wireless application
protocol (WAP) services to customers.
- Sky Cell Communications Ltd, one of the two cellular service providers in Chennai, has
launched `Sky Banking', for which the company has tied up with ICICI Bank and HDFC
Bank.
- The bank has tied up with 12 utility companies nationwide including BSES, MSEB, BEST,
Orange, BPL and MTNL.
- The Bank has tied up with financial portals, e-brokerages and the National Stock Exchange
to enable broker payments for e-broking ventures. - The Bank has set up 100 new electronic
19

data capture (EDC) terminals in Mumbai. - HDFC Bank has launched its first B2C payment
gateway which allows Visa and MasterCard credit card-holders to do transaction online and
real-time. - CYBERITMALL.COM has joined hands with HDFC Bank to provide
VISA/MasterCard users with an online payment gateway solution to enable them to have a
secure shopping experience. - HDFC Bank plans to extend its mobile phone banking services
introduced in select metros to mobile phone broking when it introduces its Internet on-line
trading in July. - HDFC Bank and portal clickforsteel.com have signed a memorandum of
understanding for offering online credit and services to facilitate `post transaction' activities
through the portal's `allied services providers' programme. - Indianfoline.com signed an
agreement with HDFC bank for the use of payment gateway to enable online financial
transactions.
- HDFC Bank, in association with cellular service provider Orange, has launched the entire
range of mobile banking services and mobile commerce services using wireless application
protocol (WAP) technology.
- The Company has introduced a new scheme whereby it will provide loans to individuals for
payment of self assessment tax on their properties in Bangalore.
- The Foreign Investment Promotion Board has cleared the proposal of the HDFC Group to
enter into a joint venture with Singapore Telecom's e-commerce company for providing a
comprehensive range of business-to-business e-commerce solutions to companies in India.
- The Company proposes to pick up an equity stake in Softcell Trade and Technologies Ltd., a
Mumbai-based software company.
- BPL Mobile has tied up with HDFC Bank to offer Internet banking through the mobile
phone.
- HDFC Bank launched `instant Car Loans' a new scheme for offering customers a range of
net-enabled loan products.
- HDFC Bank launched depository services on the net.
- HDFC Bank tied up with NSE.IT, a wholly owned subsidiary of the National Stock
Exchange, for providing payment gateway services for the latter's Internet trading operations.
- HDFC Bank has been identified as the best domestic commercial bank for the second
consecutive year by FinanceAsia.com, which provides a network for financial decision
makers.
- The Mumbai-based Geodic Securities Ltd. has tied up with HDFC Bank for Internet trading
of shares.
- Calcutta's cellular services provider Modi Telstra, and HDFC Bank have entered into a
collaboration to provide mobile commerce in Calcutta.
20

- HDFC Bank has got the Kerala-based Nedungadi Bank as its first customer for its new joint
venture company with I-Flex Solutions.
- HDFC Bank has set a target of attaining a business of over Rs 15,000 crore this fiscal
mainly through expansion and new product launches, including a credit card.
- HDFC Bank, in association with Tata Cellular, has launched Mobile Commerce Service, for
customers in Hyderabad and Vishakaptnam.
- HDFC Bank has tied up with about 25 equity brokerages for enabling third party transfer of
funds and securities through its business-to-business portal -- `e-Net'.
- The Bank has entered into an alliance with Deloitte Haskins and Sells, a member firm of
Deloitte and Touch, to offer banking services to its non-resident Indian customers.
- HDFC Bank has launched its 123rd outlet at Delhi Stock Exchange building at Asaf Ali
Road.
- The Bank proposes to acquire up to 24.5 per cent stake in the MIEL e-Security Pvt. Ltd.,
which is engaged in the business of developing and marketing of security products and
services for a range of e-commerce and enterprises security applications.
- The Bank has tied up with Rajan Raheja-owned Hatchway for providing banking at home as
part of the Net-over-cable initiative of the latter in Mumbai. - HDFC Bank launched its online bill payment facility in alliance with the Maharashtra State Electricity Board has also
begun to offer bridge loans against fixed deposits of parent Housing Development Finance
Corporation the financial institution.
- HDFC Bank has tied up with portal brainvisa.com to retail education loans to students. The Gujarat Cellular operator Fiscal has signed up with the HDFC Bank to introduce mobile
commerce for the first time in the State.
- HDFC Bank has tied up with BPL Mobile for mobile commerce facility.
- CricketNext.com, a sports e-commerce site has tied up with HDFC Bank to provide an online payment gateways and marketing opportunities for a wide range of cricket sports gear on
its on-line shop Bat Next.
- Singapore-based Growasia.com has entered into an understanding with HDFC Bank and
credit rating agency Accra, for picking up equity in the company's Indian subsidiary
Gasia.com.
- The Bank has launched `Freedom - The e-Age Savings Account' for cellular phone users.

21

- Spice Cell has tied up with Citibank N A, HDFC Bank and ICICI Bank for mobile bill
settlements.
- HDFC Bank and Cosmos Bank launched a co-branded ATM card.
- The Chatterjee Group-promoted Caltech Online Ltd. has signed memorandum of
understanding with HDFC Bank and UTI Bank for setting up a payment gateway for its debt
negotiation platform, Riskxpress.com.
- HDFC Securities Ltd., promoted by the HDFC group with equity participation from the
Housing Development Finance Corporation Ltd., HDFC Bank and Chase Capital Partners,
has launched its brokerage services for retail investors in the Capital.
- The HDFC Bank and Airtel launched their mobile-banking service through WAP in Delhi.
- HDFC Bank has launched wireless application protocol-based mobile-banking in
Coimbatore and Trichy in association with Aircel.
2001
- The Bank has opened its first branch in Aurangabad.
- HDFC Standard Life Insurance has entered into a memorandum of understanding with the
Chennai-based Indian Bank.
- The Bank has launched the international Maestro debit card in association with Master
Card.
- HDFC Bank will launch its credit card in June through link-ups with MasterCard and Visa.
- LTtrade.com has entered into a strategic tie-up with HDFC Bank to provide Net banking
services to online investors.
- Standard Chartered Bank, HDFC Bank and Bharat Petroleum Corporation have joined the
cash Forum which has been set up by the Smart Card Forum of India.
- HDFC Bank has launched a new campaign for its eage savings account.
- HDFC Bank entered into a strategic tie-up with Tally Solutions Pvt. Ltd. to offer online real
time accounting services to small and medium enterprises.
- The Bank has opened four ATMs outlets in Bangalore at Coles Road, RT Nagar, Rajaji
Nagar and Jaya Nagar on March 26.
- HDFC Standard Life Insurance has launched a `Development Insurance Plan' a low cost life
insurance product developed specifically to meet the needs of economically weaker sections.
22

- Two Directors, Mr. S.S. Thakur and Mr. Amit Judge, have resigned from the board of the
bank effective from March 30.
- HDFC Bank files with US regulators to list more than 11 million American Depositary
Shares on the New York Stock Exchange.
2002
- HDFC Bank unveiled a new online account aggregation service `OneView'.
- HDFC launched 'One View' service to customers
- HDFC Bank launched its 9th branch in Karnataka.
- HDFC opens its branch in Mangalore.
- HDFC Bank unveils Silver card in Hyderabad.
- HDFC Bank opens first overseas representative office.
- HDFC Bank unveils gold card
- Medicaid facilities to HDFC Bank gold cardholders.
- HDFC Bank Ltd has informed BSE that Mr Deepak Satwalekar has submitted his
resignation as Director of the Bank. The Board of Directors has accepted the same. The
Board of Directors has co-opted Mrs Renu Karnad as Additional Director of the Bank.
- Mrs. Renu Karnad has been co-opted as an Additional Director of the Bank. Mrs Karnad
shall represent the promoters of the bank i.e. HDFC Ltd. Also Mr. Deepak Satwalekar,
Managing Director of HDFC Standard Life Insurance Company Ltd, has been on the Board
of the Bank as nominee of HDFC Ltd since September 12, 1994 and shall complete the
period of 8 yrs before the next scheduled board meeting. In view of the provisions of the
Banking Regulation Act, 1949, Mr. Satwalekar has submitted his resignation as Director of
the Bank and the Board has accepted the same.
- HDFC Bank launched new products to its wealth management programme to increase its
customer base. The bank introduced a non-interactive product named "Financial Planner",
which would be available for all its customers for an annual fee starting from Rs 10,000. The
bank is offering fee based advisory programme to the "mass affluent" segment, which was
earlier offered to high net worth customers. The wealth management programme would cater
to individual needs taking into account various factors such as customer's age, financial goals
and risk profile, which includes equity, MFs and debt instruments such as RBI Relief Bonds.
- Orange JV with HDFC Bank.
23

2003
- HDFC Bank unveils resident foreign currency account.
- HDFC Bank unveils co-branded credit card with e-Seva.
- The Board of Directors of HDFC Bank Ltd at their meeting held on January 15, 2003
approved the appointment of Mr. Arvind Pande as an Additional Director pursuant to section
260 of the Companies Act, 1956.
- EPFO JV with HDFC Bank for its pension distribution.
- HDFC enters into agreement with HDFC Bank to source housing loans.
- HDFC Bank, IRCTC in tie up for online railway booking.
- HDFC Bank inks pact with ANB for remittance service
- HDFC Bank introduces 'HDFC Bank Health Plus Credit Card'.
- Uma Krishnan resigns HDFC Bank as country head.
- Escotel ties up with HDFC Bank for Global Debit Card.
- HDFC Bank launches India's first mobile payment solution.
- HDFC Bank's debt programme of Rs 400-crore has received triple A (in) rating from
CREDIT rating agency FITCH.
-Mumbai - HDFC Bank in collaboration with Tally Solutions is planning to launch electronic
data interchange (EDI) system for small and medium enterprises (SMEs).
-Warburg Pincus sells 2% stake in HDFC for Rs 235 cr
- HDFC Bank began selling home loans of its promoter Housing Development Finance
Corporation (HDFC).
-Board approved to allot 4,16,400 equity shares to the employees of the Bank under the
Employee Stock Option Scheme
2004
-Mr Ranjan Kapur & Mr Bobby Parikh appointed as Additional Directors

24

-NMCE inks pact with HDFC Bank for warehouse receipts

- HDFC Bank has entered into an alliance with Clearing Corporation of India Ltd (CCIL).
The tie-up offers the latter's collateral borrowing and lending obligation (CBLO) product to
cooperative banks that are not direct members of the negotiated dealing system (NDS).
-HDFC Bank repurchases HDFC loans worth Rs 208 cr
-Launches Quick remit, a unique online service that enables NRIs in the US to send money to
their relatives in India from the comfort of their homes.
-Andhra Bank has entered into an alliance with HDFC Bank for sharing its network of
automated teller machines (ATMs). On March 29, 2004
- HDFC Bank and Bahraini Saudi Bank (BSB) have announced an alliance to cater to service
the needs of the non-resident Indians (NRIs) in Bahrain.
- HDFC bank Ltd has informed that Dr (Mrs) Amla Samanta has ceased to be a director of the
Bank weft April 25, 2004.
- HDFC Bank launches new scheme for Maruti 800 buyers, providing 85 per cent finance on
the on-road price of the car for seven years.
-HDFC Bank wins Asia money award for Best Domestic Bank
-HDFC Bank managing director Aditya Puri has been awarded the management man of the
year by the Bombay Management Association (BMA)
-HDFC Bank has entered into an agreement with Shrachi Securities Ltd, the flagship
company of the Kolkata-based Rs 300-crore Shrachi Group, for financing of multi-utility
vehicles all over India
-HDFC Bank has launched an online bill payment facility for its customers who are also
subscribers to Tata Teleservices
-HDFC Bank join hands with NCR Corporation to offer managed ATM services
- IKF Finance Ltd has entered in to a Joint Lending Arrangement with HDFC Bank Ltd
2005
-TMB forges alliance with HDFC Bank
-HDFC Bank inaugurates first ATM in Hotel

25

- HDFC Bank ties up with the International Bank of Qatar (IBQ) to launch banking services
in Qatar.
- HDFC Bank launches loyalty rewards programme for its debit and credit cardholders under
the name InstaWonderz.
-HDFC Bank along with MasterCard International launched credit card targeted at small and
medium-sized enterprises
-HDFC Bank has tied up with US-based WL Ross and company LLC for investing in
corporate restructuring
-HDFC Bank unveils credit card for farmers
2006
-HDFC sets up two more branches in AP
- Osim to join hands with HDFC Bank for consumer loans
- HDFC Bank inaugurates Vivo facility for online shopping
- HDFC sets up two more branches in AP
2007
-HDFC Bank has signed an agreement with Tata Pipes to offer credit facilities to farmers
across the country.
-HDFC Bank Ltd has appointed Mr. Pandit Palande as an additional Director of the Bank at
the Board Meeting held today i.e. on 24th April 2007.
- HDFC Bank Ltd has informed that the Board of Directors of the Bank at its meeting held on
October 12, 2007, has been appointed Mr. Paresh Sukthankar & Mr. Harish Engineer as
Executive Directors on the Board of Directors of the bank. Mr. Sukthankar & Mr. Engineer
have been senior employees of the Bank since 1994 and have held various positions of
responsibility.
The above appointments as Executive Directors of the Bank are subject to approval of
Reserve Bank of India and of the Bank's shareholders.
2008 - HDFC Bank Ties Up With Postal Department, Extends Rural Reach
- HDFC Bank Wins Nasscom IT User Award The Year'
- HDFC Bank Opens Its First Overseas Branch In Bahrain
26

- HDFC Bank and Centurion Bank of Punjab merger at share swap ratio of 1:29
- HDFC Bank Launches Indias First Rural Banking BPO At Tirupathi
- HDFC Bank Launches Indias First "Online Market Linkage Programme" For Self Help
Groups
2009 - HDFC Bank Bags Asia money Award for the "Best Domestic Bank" - HDFC Bank
offers electronic payment collection facility to Guruvayoor Devaswom. - HDFC Bank
launches Merits Scholarship Programme. - The Asian Banker declares HDFC Bank the Best
Retail Bank
2010
- With a view to attract long term deposits and prevent premature withdrawal when the
interest rates peak, HDFC, the housing finance major, has decided to pay variable interest rate
on recurring deposits.
- HDFC Bank on Feb 19 increased the fixed deposit rates by up to 150 basis points across
maturities, a move that follows the Cash Reserve Ratio hike of 75 basis points by the Reserve
Bank of India last month.
- HDFC rolls out systematic savings plan with variable interest rates
- HDFC Bank replaces ICICI as Number 1 private retail bank in India
- HDFC ties up with UAE bank for online remittances
-HDFC Bank approved the appointment of Mr. C. M. Vasudev, who is a Director of the Bank,
as Non Executive Chairman of the Bank on a part time basis for a period of three years
effective July 06, 2010 in replace of Mr. Jadish Capoor retires from his services on the same
date.
- HDFC Bank plan to add 250 new branches to its network over next 2 years.
2011
- HDFC Bank looking at 3G services to boost mobile banking share.
- The Housing Development Finance Corporation Limited (HDFC), one of the largest private
sector banks in India, which had a network of 1,725 branches as at March 2010, opened 275
new branches in the current fiscal. The bank now has a total network of 2,000 branches
spread across 1,000 cities. The bank also acquired Centurion Bank of Punjab in 2008, which
adds around 404 branches to its network.

27

- The Asian Banker magazine has declared that the strongest bank in Asia Pacific region is
HDFC
- India's private banking major ,HDFC Bank has launched its new credit card offering called
Infinia in direct competition with global credit card major ,American Express(Amex) .The
new HDFC product is exclusively for the bank's high net worth and super rich clients in the
country.
-Company has splits its Face value of Shares from Rs 10 to Rs 2
2012
- The third-largest US lender by assets, Citigroup Inc has sold its complete 9.85 per cent stake
in Housing Development Finance Corporation Ltd (HDFC) for USD 1.9 billion.
- HDFC Bank which is a major Indian financial services company based in Mumbai stated
that they have collaborated with Punjab Grains Procurement Corporation Ltd (PUNGRAIN)
with an aim to make easy and faster payment to its agents who are dealing in agricultural
products in about 350 minds in Punjab.
- HDFC Bank ties up with IOC to offer banking services in rural areas
- Carlyle offloads entire stake in HDFC for $841 m through bulk deals
- HDFC Bank opens office in Abu Dhabi
- HDFC Bank has launched its mobile banking application in Hindi on targeting about 560million Hindi-speaking population of India.
- HDFC Bank opens 87 branches in Punjab, Haryana in a single-day.
2013 -HDFC Bank named Organisation of the Year at Scotch Financial Inclusion Awards
-Times Card launched in association with HDFC Bank -Jet Airways and HDFC Bank join
hands to launch 'Jet Privilege-HDFC Bank World Debit Card' -Analysts vote HDFC Bank as
Best Bank in Asia, Mr Adyta Puri, Best CEO -HDFC Bank launches rural Financial Literacy
Initiative in Goa -HDFC Bank launches 11 mini branches in rural locations in Andhra
Pradesh -HDFC Bank opens 18 rural branches to achieve 200th branch milestone in Haryana
-HDFC Bank launches rural Financial Literacy Initiative in Gujarat -HDFC Bank in Forbes
Asia's 'Feb. 50' List for 7th year -HDFC Bank opens rural mini-branch in Alampur, achieves
250th branch milestone in Uttar Pradesh -HDFC Bank launches rural Financial Literacy
Initiative in Maharashtra -HDFC Bank's Sustainable Livelihood Initiative crosses milestone
of 20 lakh households -HDFC Bank organises free Live Healthy camp in Uttar Pradesh
-HDFC Bank opens 2 rural mini-branches in Madhya Pradesh -HDFC Bank opens 7 rural
mini-branches in Uttar Pradesh -HDFC Bank to hold national 'Blood Donation Drive' on
December 6, 2013 -HDFC Bank achieves 300th branch milestone in Gujarat -Timespro
launches training programme for graduates
28

2014 -HDFC Bank reaches 50th branch milestone in Himachal Pradesh -HDFC Bank
Launches Rural Financial Literacy Initiative in Kanpur -HDFC Bank launches Mau with IIM
Luck now for online payment gateway -HDFC Bank organises Secure Banking workshop in
Vishakhapatnam -HDFC Bank opens 12 rural branches to achieve 50th branch milestone in
Chhattisgarh -HDFC Bank launches cybercrime training programme for Delhi police under
Secure Banking Initiative -HDFC Bank sets GUINNESS WORLD RECORD -HDFC Bank
achieves 200th branch milestone in Tamil Nadu -HDFC Bank launches 'Secure Banking'
programme in Kerala -HDFC Bank opens branch at Dubai -HDFC Bank launches e-payment
gateway for Ghaziabad Nagar Nigam -HDFC Bank launches cybercrime first responder
training programme for Bangalore police under Secure Banking Initiative -HDFC Bank
launches ForexPlus card for Hajj & Umbra pilgrims -HDFC Bank opens 400th branch in
Maharashtra -HDFC Bank opens first SLI branch in Varanasi -HDFC Bank to hold national
'Blood Donation Drive' -HDFC Bank launches 'Bank Aapki Muththi Mein'
2015 -HDFC Bank launches sonic branding -HDFC Bank signed Mau with Himachal
Pradesh government -HDFC Bank launches 'Har Zaroorat Poori Ho Chutki Mein, Bank
Aapki Mutthi Mein' -HDFC Bank reaches out to 42000 dairy farmers in Rajasthan under
'Milk-to-Money' programme -HDFC Securities launches mobile trading apps on IBM Mobile
First Platform -HDFC Bank wins Best Private Banking Services for Super affluent clients for
5 years in a row at Euromoney Awards -HDFC Bank voted India's Best Managed Company
-HDFC Bank launches Medical Benefits Prepaid Card -HDFC Bank launches PayZapp,
Indias first 1-click mobile-pay solution -HDFC Bank and Snap deal in partnership with Visa
launch India's first co-branded e-commerce credit card.

29

CAPITAL STRUCTURE OF HDFC BANK

As on 31st March, 2016 the authorized share capital of the Bank is Rs. 550 core. The paid-up
share capital of the Bank as on the said date is Rs 505,63,73,034/- ( 2528186517 equity
shares of Rs. 2/- each). The HDFC Group holds 21.49 % of the Bank's equity and about 18.71
% of the equity is held by the ADS / GDR Depositories (in respect of the bank's American
Depository Shares (ADS) and Global Depository Receipts (GDR) Issues). 32.22 % of the
equity is held by Foreign Institutional Investors (FIIs) and the Bank has 4, 79,869
shareholders.
The shares are listed on the Bombay Stock Exchange Limited and the National Stock
Exchange of India Limited. The Bank's American Depository Shares (ADS) are listed on the
New York Stock Exchange (NYSE) under the symbol 'HDB' and the Bank's Global
Depository Receipts (GDRs) are listed on Luxembourg Stock Exchange under ISIN No
US40415F2002.

30

Earnings per share (EPS):

Earnings per share (EPS) is the monetary value of earnings per outstanding
share of common stock for a company.
In the United States, the Financial Accounting Standards Board (FASB) requires EPS
information for the four major categories of the income statement: continuing operations,
discontinued operations, extraordinary items, and net income.

HDFC
EPS = Profit After Tax Preference Dividend / Number Of Equity Share
EPS = 50.50
ICICI
EPS = Profit After Tax Preference Dividend / Number Of Equity Share
EPS = 14.13

Price to Earning Ratio (P/E Ratio):

The price/earnings ratio (often shortened to the P/E ratio or the PER) is the
ratio of a company's stock price to the company's earnings per share. The ratio is used in
valuing companies.
HDFC
PER = Market Price Per Equity Share / Earning Per Share
PER = 34.08%
ICICI
PER = Market Price Per Equity Share / Earning Per Share
PER = 16.21%

31

Dividend Pay-out Ratio:

Dividend payout ratio is the fraction of net income a firm pays to its
stockholders in dividends:
The part of the earnings not paid to investors is left for investment to provide for
future earnings growth. Investors seeking high current income and limited capital growth
prefer companies with high Dividend payout ratio. However investors seeking capital growth
may prefer lower payout ratio because capital gains are taxed at a lower rate. High growth
firms in early life generally have low or zero payout ratios. As they mature, they tend to
return more of the earnings back to investors. Note that dividend payout ratio is calculated
as DPS/EPS.
According to Financial Accounting by Walter T. Harrison, the calculation for the payout ratio
is as follows:
Payout Ratio = (Dividends - Preferred Stock Dividends)/Net Income
The dividend yield is given by earnings yield times DPR:
Conversely, the P/E ratio is the Price/Dividend ratio times the DPR.

HDFC
DPR = Dividend/Earnings
DPR = 19.53
ICICI
DPR = Dividend/Earnings
DPR = 29.89

Dividend Yield:
The dividend yield or dividend-price ratio of a share is the dividend per share,
divided by the price per share.[1] It is also a company's total annual dividend payments
divided by its market capitalization, assuming the number of shares is constant. It is often
expressed as a percentage.
Dividend yield is used to calculate the earning on investment (shares) considering only the
returns in the form of total dividends declared by the company during the year.
HDFC
32

DY = Dividend Per Share/Market Price Per Share*100

DY = 0.62%
ICICI
DY = Dividend Per Share/Market Price Per Share*100
DY = 1.86%

Book Value Per Share

Book Value per Share (alternately "Net Asset Value per Share" or "Equity Per
Share" is a recalculation of book value, wherein the total book value is divided by the number
of shares outstanding. This number is particularly useful in quickly calculating the price to
book ratio.
Investors use book value per share as a measure of a company's net value of all its "stuff",
scaled by the number of shares outstanding. This is useful when looking at the
underlying asset values of two differently sized companies. As, while a company with
1,000,000 shares outstanding and a company with 100,000,000 shares outstanding may have
drastically different book values, they may have similar book values per share.
HDFC
BVPS = EQUITY SHARE CAPITAL + RESERVES AND SURPLUS/NUMBER OF
EQUITY SHARE
BVPS = 285.88

ICICI
BVPS = EQUITY SHARE CAPITAL + RESERVES AND SURPLUS/NUMBER OF
EQUITY SHARE
BVPS = 145.56

ANALYSIS DATA
33

A number of tables are prepared to bring out the main characteristics of the data. The
researcher should have a well thought out framework for processing and analyzing data, and
this should be done prior to the collection.

From which bank you have account?

VALUE IN NUMBERS
I C I C I
H D F C
BANK NAME

O T H E R

138% Bank name of ICICI.

212% Bank name of HDFC.
320%Bank name of other.
Do you think that Bank is giving a good return?

132%Bank giving a yes return.

268%Bank giving a no return.

34

LIMITATION
Insufficient time because of this limit period, I have chosen only two banks which is giving
good return. But in market there are lots of banks which offering more return as comparing
with selected banks. So, that could not be find out from the overall point of view best
investment opportunities in selected bank from that sector.
Due to insufficient data given in the financial statement, some financial ratio could not be
found out.
As the study is depending on the information from the different sources, the reliability of
study is depending on the reliability of information.
Lack of technology which could make the common or retail investor aware about the trend
or the chart patterns design by the banks movements.
My thesis is totally based on secondary data

35

Conclusion
Banking is also now being regarded as a versatile financial planning tool. Research
indicates that Indians have four basic financial needs during their life asset
accumulation (such as buying a house or
car), p r o t e c t i n g t h e i r f a m i l y, s e c u r i n g t h e i r c h i l d r e n s
E d u c a t i o n , a n d provision for their retirement.
IC IC I Will Be A Grow th M aking Bank As Co mp are To HD F C Bank. H DF C
B ank H as A N AM E O F 12% HD F C Bank, 38% of ICICI Bank, And O ther Is
20%.
In B anking S ector There Are 32% Of Bank G iving good Return And 68%
B ank Are N ot G iving Good Return on D epos i ts .

36

Bibliography

MONEY COMTROL.COM
https://www.google.co.in/search?
newwindow=1&q=difference+between+hdfc+and+icici+bank+scribd&oq=difference
+between+hdfc+and+icici+bank+scibd&gs_
INTERNET WEB SITES.

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