Investor Presentation

Contents

Tracking the India Growth Story Meeting Diverse Customers Needs Unique Franchise in the Indian Banking Sector Key Business Initiatives Financial Highlights Value Proposition

Tracking the India Growth Story

`. Tn
100 90

India GDP*

80 70
60 50 40

Private Consumption Strong distribution network and retail customer franchise Equally well positioned in urban and rural markets Leading player across retail loan categories

30 20
10 0

Government Large tax collector for the Government of India Significant provider of cash management services for public sector and semi government undertakings

FY 2010

FY 2011

FY 2012

Private consumption Government Investment

Investment Leading working capital banker to capital goods manufacturers Term Loans for capex and brown field expansion Project financing to strong and established players Debt syndication team in place

*Source CSO GDP at Market Prices at current prices

FY Fiscal year ended March 31 ` - Rupees
2

Contents

Tracking the India Growth Story

Meeting Diverse Customers Needs

Unique Franchise in the Indian Banking Sector

Key Business Initiatives

Financial Highlights

Value Proposition

Wide Range of Products and Customer Segments

Loan Products: Auto Loans Retail Business Banking Personal Loans Credit Cards 2-Wheeler Loans Commercial Vehicles Finance Construction Equipment Finance Home Loans / Mortgages Loans against Securities Tractor and Agri loans Education Loans Gold Loans Deposit Products: Savings Accounts Current Accounts Fixed / Recurring Deposits Corporate Salary Accounts Other Products / Services: Depository Accounts Mutual Fund Sales Private Banking Insurance Sales (Life, General) NRI Services Bill Payment Services POS Terminals Debit Cards Gold Sales Foreign Exchange Services Broking (HDFC Securities Ltd)

Retail Banking

Commercial Banking:

Transactional Banking:
Cash Management Custodial Services Clearing Bank Services Correspondent Banking Tax Collections Banker to Public Issues

Key Segments:
Large Corporate Emerging Corporates Financial Institutions Government / PSUs Supply Chain (Suppliers and dealers) Agriculture Commodities

Wholesale Banking

Working Capital Term Loans Bill Collection Forex & Derivatives Wholesale Deposits Letters of Credit Guarantees

Products / Segments

Other Functions: Asset Liability Management Statutory Reserve Management

Treasury

Foreign Exchange Debt Securities Derivatives Equities

Complete Suite of Products to Meet Diverse Customers Needs

Business Mix
Total Deposits
`. Bn 3,000 `. Bn 2,500

Gross Advances
`. Bn 100

Profit Before Tax

1,500

1,250

50

0 2010 2011 2012

0 2010 2011 2012

0 2010 2011 2012

Retail

Wholesale

Retail

Wholesale

Retail

Wholesale

Customer segments - main drivers of net revenues Well balanced loan mix between wholesale and retail segments Higher retail revenues partly offset by higher operating and credit costs

Equally well positioned to grow both segments

Indian GAAP figures. Fiscal Year ended 31 st March; ` - Rupees Gross advances and Profit Before Taxes classified as per RBI guidelines for segmental reporting (Basel II). Other Banking Operations Segment (which includes Credit Cards, Third Party Product sales etc.) has been added to the Retail Segment 5

Contents

Tracking the India Growth Story

Meeting Diverse Customers Needs

Unique Franchise in the Indian Banking Sector

Key Business Initiatives

Financial Highlights

Value Proposition

Strong National Network

Mar 09 Mar 10 Mar 11 Mar 12

Cities Branches ATMs

528 1412

779 1,725

996 1,986

1399 2,544 8,913

3295 4,232 5,471 Branch classification

Mar '09
Semi Urban 22% Rural 8% Metro 36% Urban 27% Metro 28%

Mar '12
Semi Urban 36%
Rural 9%

Urban 34%

All branches linked online, real time Anytime, Anywhere, Anyhow banking

75% branches outside the top 9 cities

Customer base of 26 million

High Quality Deposit Franchise

Total Deposits
`. Bn 3000 52%

Core CASA Ratio

Average Saving Balance per Account

`. 50,000

1500

26%

25,000

0 2010 2011 2012

0% 2010 2011 2012

2010

2011

2012

Time

Savings

Current

Healthy proportion of CASA (current & savings) deposits

Floats from multiple transactional banking franchises

Continued growth in new customer acquisitions Provides customer base for ongoing cross-sell through branches Quality growth rather than mere numbers

Indian GAAP figures. Fiscal year ended 31st March Core CASA ratio based on daily average balances for the year ` - Rupees 8

Low Funding Costs Healthy Margins

Cost of Deposits
7.00% 5.00%

Net Interest Margin

5.72%

4.35%

4.25%

4.22%

4.66%
3.50%

4.30%
2.50%

0.00% 2010 2011 2012

0.00% 2010 2011 2012

Amongst the lowest deposit costs in the industry Healthy margins relatively stable over rising & declining interest rates Average yields supported by higher proportion & product mix of retail loans

Indian GAAP figures. Fiscal year ended 31st March

Strong Non-Funded Revenues

`. Mn 56,000

Multiple sources of fees & commissions:

P/L on Investments* 27,000 FX & Derivatives Fees & Commission

-2,000

2010

2011

2012

Banking charges (Retail & Wholesale) Retail Asset Fees Credit card Fees Third party product sales Cash management Trade Finance Depositary charges Bullion sales Custody

Other Income (non-funded revenues) at 30% of Net Revenues in FY 2012

Composition of Other Income in FY 2012: Fees and commissions 81%, FX and Derivatives Revenues 22%, Loss on sale of Investments (3%)

Indian GAAP figures. Fiscal year ended 31 st March; FY - Fiscal Year ended 31st March. * Profit / (loss) on sale and revaluation (mark to market) of the Government Bond portfolio etc.& includes miscellaneous income ` - Rupees 10

Leveraging Technology
Multiple Delivery Channels
2001
Branches 43% Phone Banking 14% Internet 2% Mobile 1%

Greater Choice and Convenience for Our Retail Customers

2012 Internet
Phone Banking 12% 38%

ATMs 40%

Mobile 2% Branches 18% ATMs 30%

% Customer Initiated Transactions by Channel

Regionalized Processing Units

Derive Economies of Scale

Electronic Straight Through Processing

Reduce Transaction Costs and Error Rates

Data Warehousing, CRM, Analytics

Improve Sales & Credit Efficiencies, Cross-sell

Innovative Technology Application

Provide New or Superior Products

The charts above cover only transactions initiated by our own customers and which could have been transacted at the Banks branches.

Transactions such as (a) SMS alerts sent to customers, (b) point of sale (POS) transactions, and (c) transactions by holders of other
banks cardholders have therefore been excluded. 11

Healthy Asset Quality

NPA% to Advances
`. Bn
2% 28

Loan Loss Provisions

1.43% 1.05%
1%

1.02%
14

0.31%
0%

0.19%

0.18%
0

2010

2011

2012

2010

2011

2012

Gross NPA %

Net NPA %

Gross NPAs

Specific Provision

General Provision

Amongst the best portfolio quality (wholesale & retail) in the industry Strong credit culture, policies, processes Specific provision cover (excluding write-offs, technical or otherwise) at 82% of NPAs, total provision coverage of over 100% Restructured loans formed 0.4% of the Bank's gross advances as on March 31, 2012

Indian GAAP figures. Fiscal year ended 31 st March. Net Non Performing Assets (NPA) = Gross NPA less specific loan loss provisions ` - Rupees 12

Consistent Financial Performance

`. Mn
52,000

Net Profit

26,000

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

ROA
`.
2% 1.77%

EPS

1.53% 1%

1.58%

25

22.1 17.0 13.5

13

0% 2010 2011 2012

2010

2011

2012

Indian GAAP figures. Fiscal year ended 31st March; ` - Rupees * 10 year Compounded Annual Growth Rate EPS for the year 2010 & 2011 has been recomputed to give effect of the share split from ` 10 to ` 2 13 1

Contents

Tracking the India Growth Story

Meeting Diverse Customers Needs

Unique Franchise in the Indian Banking Sector

Key Business Initiatives

Financial Highlights

Value Proposition

14

Accessing Multiple Segments

`. Bn 1,000
FIG CV/CE Others Business Banking

Wholesale Advances

Leveraging relationships with large & emerging corporates for multiple revenue streams

Focus on house banking

Balanced mix between working capital financing, term loans and transactional banking Well diversified loan portfolio across major industry segments

500

Emerging Corporate

Corporate

2010 2011 2012

Dealers Vendors Corporate Distributors OEM Customers Leading provider of electronic banking services for supply chain management (SCM) Structured cash management-cum-vendor/distributor finance

Indian GAAP figures. Fiscal year ended 31st March; Total wholesale advances are as per the RBI guidelines for segmental reporting (Basel II). Others includes Capital markets and commodity finance, and other consumer loans over ` 50 million. FIG Financial Institutions and Government group, CV/CE Large ticket commercial vehicle and construction equipment loan ` - Rupees 15 1

Focus on Transactional Banking Opportunities

`. Bn 28,000

Gross Cash Management Volumes *

Nos.

Primary Settlements Accounts (Stock Exchanges)

1,700

14,000

850

0 2010 2011 2012

0
2010 2011 2012

Clear market leader : cash settlements on stock & commodities exchanges

Leading provider of cash management solutions Large corporates and SME Financial Institutions Government (including tax collections)

For the Fiscal year ended 31st March, * Gross Cash Management Volumes adjusted for collections on account of IPOs ` - Rupees 16 1

Customer Focused Treasury Products

`. Mn 12,000 FIG 4%

FX & Derivatives Revenues

Customer Revenues Mix

Others 8%

BB 6%
6,000

Corp 18% ECG 10%

0 2010 2011 2012

Retail 54%

Revenues Largely customer driven, low reliance on trading revenue Treasury advisory services Plain vanilla FX offerings to retail and business banking segments FX and derivatives product sales to corporate and institutional customers

Indian GAAP figures. Fiscal year ended 31st March; ` - Rupees Corp Corporate, ECG Emerging Corporate Group, BB Business Banking, FIG Financial Institutions & Government Group; Others includes Capital Markets and Commodity Finance 17 1

Retail Loans Profitable Growth

`. Bn

1,200

Two Wheelers
Gold Loans

Well diversified product mix Balancing volumes and market share with margins and risk

Credit Cards

Others
Home Loans Personal Loans Commercial Vehicles

Home Loans* (Mortgage) offering

origination (loan sanctions) now

around ` 8 Bn per month Loan losses within product pricing parameters

600

Business Banking

Auto Loans

0 2010 2011 2012

Retail loans are net of loans sold and include loan assignments. Retail loans are classified as per RBI guidelines for segmental reporting (Basel II). * In arrangement with HDFC Ltd., Others includes Tractor Loans, Loans to Self Help Group, Retail overdrafts, Loans against Securities, etc Indian GAAP figures. Fiscal year ended 31st March; ` - Rupees 18 1

Cards Achieving Scale

Number of Cards
Mn 22 `.Bn 70

Credit Cards Receivables

`.Bn 500

Acquiring Thruputs

11

35

250

0 2010 2011 2012

0 2010 2011 2012

0 2010 2011 2012

Debit cards

Credit cards

Market leader in credit card (5.6 mn cards as of Mar 12)

Around 70% of new credit cards issued to internal customers Loss rates at cyclical lows in FY2012, well within the range priced in Merchant acquiring over 180,000 POS terminals, 44% growth in thru-puts

Indian GAAP figures. Fiscal year ended 31 st March. ` - Rupees FY 2012 Fiscal year ended 31st March 2012 POS Point of Sale 19 1

Distribution of Third Party Products

`.Bn 1,200

Mutual Fund Sales

`.Bn 26

Insurance Premium

600

13

0 2010 2011 2012

0 2010 Life 2011 General 2012

` - Rupees

Steady performance in a challenging, volatile environment New regulation and change in product mix adversely impacted fees Relationship managers for private banking and high net worth segments Branch sales process to drive distribution of third party products

Indian GAAP figures. Fiscal year ended 31st March

20

Banking on Rural India

Banking Services for the rural eco-system through customised loan and deposit products whilst maintaining credit standards
Local Government
Loan Products Pre and Post Harvest Credit

Tractor Loans
Kisan Cards Small Working Capital Loan

Individuals

Sustainable Livelihood Banking

Liability Products

Food Processors

Self Help Groups

Regular / No frills savings accounts

Term / Micro deposits

Other banking products

Intermediaries (Arhatiyas, traders)

Farmers

Life and General Insurance Payment ecosystem

21

Subsidiary Companies
HDFC Securities Limited Amongst the top retail equity brokerages in the country

Over 180 branches and 1.4 million customers

Revenues from brokerage as well as distribution of financial products FY 2012 - Net Profit : ` 541 million

HDB Financial Services NBFC catering to certain customer segments not served by the Bank Inherently lower cost structure Network size of 180 branches

FY 2012 - Loan book : ` 39,641 million, Net Profit : ` 511 million

` - Rupees

FY 2012 Fiscal year ended March 31, 2012

22

Contents

Tracking the India Growth Story

Meeting Diverse Customers Needs

Unique Franchise in the Indian Banking Sector

Key Business Initiatives

Financial Highlights

Value Proposition

23

Key Financials
`. Mn Quarter ended Mar 2012 Quarter ended Mar 2011 Year ended Mar 2012 Year ended Mar 2011

Change

Change

Net Interest Income Fees & Commissions Forex & Derivative Income Profit / (loss) on Investments* Net Revenues Operating Costs

33,883 12,373 3,252 (705) 48,803 24,671 2,983 6,618

28,395 10,006 2,454 97 40,952 19,984 4,313 5,508

19.3% 23.7% 32.5%

122,968 42,755 11,388 (1,706)

105,431 35,967 7,864 (479) 148,783 71,529 19,067 18,923

16.6% 18.9% 44.8% 256.1% 17.9% 20.1% -24.6% 24.0%

19.2% 23.5% -30.8% 20.2%

175,405 85,901 14,372 23,461

Provisions & Contingencies

Tax

Profit After Tax

Indian GAAP figures (` Mn) , ` - Rupees;

14,531

11,147

30.4%

51,671

39,264

31.6%

*On sale and revaluation (mark to market) of investments & includes miscellaneous income

24

Financial Highlights - Quarter ended March 2012

Net profit up by 30% to ` 14.5 Bn Gross advances increased by 22% to ` 1,969 Bn Deposits up 18% to ` 2,467 Bn CASA ratio at 48.4%

Core Net Interest Margin at 4.2%

Core Cost-to-income ratio at 49.8% Gross NPA / gross advances at 1.0% Net NPA / net advances at 0.2% Capital adequacy ratio (CAR) - total 16.5% of which tier I at 11.6%

Indian GAAP figures (Bn =Billion); ` - Rupees Net NPA = Gross NPA less specific loan loss provisions Comparisons are with respect to corresponding figures for the quarter ended March 31, 2011 25

Contents

Tracking the India Growth Story

Meeting Diverse Customers Needs

Unique Franchise in the Indian Banking Sector

Key Business Initiatives

Financial Highlights

Value Proposition

26

Value Proposition Healthy Growth, Low Risk

Growing economy / banking industry, Gaining market share Nationwide network, with expanding semi urban and rural footprint Leading (Top 3) player across multiple products Wide Product range and multiple customer segment Branch Sales Process, Data Mining & CRM, geared for Cross sell Leveraging organic and inorganic growth opportunities

Healthy balance sheet and revenue growth Disciplined margin and capital management with a focus on ROA/ROE

Strong Risk management, focus on asset quality

Proven ability to generate Shareholder Value

27

Certain statements are included in this release which contain words or phrases such as will, aim, will likely result, believe, expect, will continue, anticipate, estimate, intend, plan, contemplate, seek to, future, objective, goal, project, should, will pursue and similar expressions or variations of these expressions that are forward-looking statements. Actual results may differ materially from those suggested by the forward-looking statements due to certain risks or uncertainties associated with our expectations with respect to, but not limited to, our ability to implement our strategy successfully, the market acceptance of and demand for various banking services, future levels of our non-performing loans, our growth and expansion, the adequacy of our allowance for credit and investment losses, technological changes, volatility in investment income, our ability to market new products ,cash flow projections, our outcome of any legal, tax or regulatory proceedings in India and in other jurisdictions we are or become a party to, the future impact of new accounting standards, our ability to pay dividends, the impact of changes in banking regulations and other regulatory changes in India and other jurisdictions on us, our ability to roll over our short-term funding sources and our exposure to market and operational risks. By their nature, certain of the market risk disclosures are only estimates and could be materially different from what may actually occur in the future. As a result, actual future gains, losses or impact on net income could materially differ from those that have been estimated.

In addition, other factors that could cause actual results to differ materially from those estimated by the forwardlooking statements contained in this document include, but are not limited to: general economic and political conditions in India and the other countries which have an impact on our business activities or investments; the monetary and interest rate policies of the government of India; inflation, deflation, unanticipated turbulence in interest rates, foreign exchange rates, equity prices or other rates or prices; the performance of the financial markets in India and globally; changes in Indian and foreign laws and regulations, including tax, accounting and banking regulations; changes in competition and the pricing environment in India; and regional or general changes in asset valuations.