India's HDFC Bank (NYSE: NYSE: HDB ) reported strong first-quarter earnings growth of 30 percent year over year. Fee growth also picked up by 25 percent YoY. Loan growth was a little lower at 21 percent YoY, because of the slowdown and uncertainty in the Indian economy. That said, retail loans increased by 55 percent, indicating stronger than expected consumer demand. Franchise build-up continues at a healthy pace, with new branches increasing by 28 percent YoY to 2,544. Over the past four years, HDFC's branch network has grown from 760 in 2008 to 2,544 today in 1,400 cities. Moreover, the number of cities in which the bank now operates increased by 40 percent, with the focus on rural and semi-urban cities that have plenty of room for growth. This expansion also pushed up costs, but rising expenses will be mitigated as branch expansion slows to only about 15 cities this year. HDFC is one of the fastest-growing banks in rural areas, reflecting a wider trend.