HDFC Bank vs Axis Bank: Which is Better?

You save a lot of money and put in a lot of work, but you need help determining where to keep it. It is only possible to retain some of your hard-earned savings at home; opening a bank account is your only option. You might be surprised to hear that banks where you have accounts allow you to invest in their business.

This blog post will compare HDFC Bank and Axis Bank. 

HDFC Bank Overview

HDFC Bank was established in 1994 as a subsidiary of HDFC Ltd. The Reserve Bank of India granted it a banking license in January 1995. In November 1995, the bank launched its Initial Public Offering (IPO) and became a listed company on the Bombay Stock Exchange and the National Stock Exchange. In 2000, the Times Bank merged with HDFC Bank. HDFC Bank acquired Centurion Bank of Punjab to increase its branch network and clientele. The bank’s business philosophy is based on five core values: Operational Excellence, Customer Focus, Product Leadership, People, and Sustainability.

HDFC Ltd. or Housing Development Finance Corporation Ltd. was merged with HDFC Bank in 2022 in India’s largest-ever M&A deal. The bank provides a wide range of financial products and services, such as retail banking, wholesale banking, loans, credit cards, savings accounts, current accounts, investment products, etc. The company’s headquarters is in Mumbai.

Axis Bank Overview

Axis Bank was initially established as UTI Bank by a joint venture between the Life Insurance Corporation of India, the Government of India, and other business houses. UTI Bank’s operations started in 1994 when the first branch in Ahmedabad was opened. In 2007, UTI Bank was renamed “Axis Bank”. It soon became a well-established and recognized bank in the Indian Banking sector. This was a turning point in the history of Axis Bank because it became an aggressive player with a focus on branch expansion and innovation. Additionally, Axis Bank consistently made an effort to diversify its product portfolio. The bank now offers a variety of financial products, including credit cards, savings accounts, current accounts, brokerage facilities, and retail banking.

Company’s Comparative Study

Financial Statements Comparison

Income Statement Comparison (FY 2024)

Balance Sheet Comparison (FY 2024)

Cash Flow Statement Comparison (FY 2024)

Key Performance Indicators

Conclusion

The comparison of India’s biggest private sector banks presented above leads us to conclude that while HDFC Bank has more revenue and profits overall, Axis Bank posts higher net profit margins even with less revenue. Although every bank has something special to offer, we always advise speaking with an investment expert before making investment decisions.

Frequently Asked Questions (FAQs)