India's second largest private sector bank, HDFC Bank has posted a 37 percent rise in net profit for the fiscal quarter ended March 31, 2008, at Rs.471.10 crore ($117.77 million) as against Rs.343.57 crore ($85.89 million) for the corresponding period a year earlier.

During the quarter, the bank earned a total income of Rs.3505.50 crore ($876.37 million) as against Rs.2321 crore ($580.25 million) in the corresponding quarter a year earlier, registering a growth of 51.2 percent.

For the full fiscal year, the net profit stood at Rs.1590.20 crore ($397.55 million) as against Rs.1,141.45 crore ($285.36 million), up by 39.3 percent. Total income for the year stood at Rs.12,398.20 crore ($3.09 billion) as against Rs.8,164.20 crore ($2.04 billion), up by 51.86 percent.

The bank's net interest income, the difference between what it paid for funds and what it earned from lending, rose 55.7 percent to Rs.1642.10 crore ($410.52 million) in the fourth quarter, from a year earlier.

The bank's Board of Directors has recommended a dividend of 85 percent for 2007-08 as against 70 percent a year earlier, subject to approval by shareholders.

The bank has not disclosed whether it made any provision for the mark-to-market losses suffered by some of its corporate clients in derivatives deals though it said its non-tax provisions and contingencies had risen 74.1 percent to Rs.471.10 crore ($117.77 million) in the fourth quarter of 2007-08.

Indian companies are required to disclose losses from investments in derivatives at the end of the quarter, according to a new rule set by the Institute of Chartered Accountants of India (ICAI) last month.

($1 million = Rs.4 crore)