HDFC Bank CEO Sashidhar Jagdishan's remuneration rises 62% to ₹10.57 cr in FY23

Bank chief executive office Sashidhar Jagdishan was paid ₹10.57 crore worth of remuneration in the financial year 2022-23, HDFC Bank says in its annual report for 2022-23. This was 62.4% higher than ₹6.51 crore paid to him as annual compensation in FY22.

The basic salary of Jagdishan stood at ₹2.8 crore, while allowances and perquisites amounted to ₹3.31 crore. Provident fund, superannuation, performance bonus, and number of stock options amounted to a total payout of ₹4.4 crore.

Kaizad Bharucha, executive director of the bank, took home an annual package worth ₹10 crore, of which ₹2.7 crore was basic pay, ₹4.3 crore was allowances and perquisites, while the rest ₹2.9 crore was superannuation, performance bonus, and stock options.

Jagdishan's remuneration also included payment received as part of the deferred cash variable of previous years. The total cash variable pay paid (₹ 1,05,21,666) to him in the financial year 2022 - 2023 was 50% of the cash variable pay for the performance year 2020-2021.

Bharucha's payout also includes payment received as part of the deferred cash variable of previous years. The total cash variable pay paid to him (₹ 1,85,25,675) in the financial year 2022 –2023 was 50% of the cash variable pay for the performance year 2021-2022.

Of the total grant worth 3,05,186, Jagdishan was allotted 97,877 employee stock options for the performance year 2020-21 on July 22, 2022, and total of 2,07,309 employee stock options for 2021-22 on March 03, 2023.

In his note in the annual report, Jagdishan says India is predicted to grow around 6% in the current financial year. "This is lower than last year’s growth but is still much higher than what is projected for many developed economies. The recession fears in major economies and an expected slowdown in export growth means that India cannot remain entirely insulated from global pressures. However, the domestic resilience as reflected in 2022-23 is an indicator that India is likely to withstand future headwinds. This brings me to the India story."

Similarly, of the total grant of 2,30,512, Bharucha was allotted 1,09,782 employee stock options for the performance year 2021-22 on March 03, 2023.

Besides, Aditya Puri retired from the services of HDFC Bank on October 26, 2020. He was paid cash variable pay of ₹7,11,00,000 for the performance period April 01, 2020 - October 26, 2020.

Following the merger with its parent Housing Development Finance Corporation (HDFC), India's largest private bank HDFC Bank announced a 30% year-on-year (YoY) growth in profit for the April-June quarter of 2023-24 at ₹11,952 crore. The bank's revenue surged 26.9% YoY to ₹32,829 crore from ₹25,870 crore in the year-ago period, the bank says in a stock exchange filing. The net interest income of the merged entity for the quarter ended June 30, 2023, surged 21.1% to ₹23,599 crore from ₹19,481 crore in the year-ago period.

HDFC and HDFC Bank officially merged on July 1, 2023. The merger is touted to be the biggest transaction in India's corporate history, which will have combined assets of nearly ₹15 lakh crore, the second-largest after Mukesh Ambani-led conglomerate Reliance Industries (₹17.63 lakh crore).