IndusInd Bank added 2.11% to Rs 1,433 after the private lender's standalone net profit rose marginally to Rs 2,152.16 crore in Q1 FY25 as against Rs 2,123.62 crore reported in Q1 FY24.
Total income grew by 15.83% year on year to Rs 14,988.02 crore in the quarter ended 30 June 2024.
The banks financial results include the financial results of its wholly owned subsidiary, Bharat Financial Inclusion (BFIL), a business correspondent (BC) of the bank involved in originating small ticket MFI loans for the bank and IndusInd Marketing and Financial Services Private (IMFS), an associate of the bank.
IndusInd Bank's consolidated net profit rose 2.18% to Rs 2,170.79 crore on 15.83% jump in total income to Rs 14988.38 crore in Q1 FY25 over Q1 FY24
Net interest income (NII) stood at Rs 5,408 crore in Q1 FY25, registering a growth of 11% on YoY basis. Net interest margin (NIM) in Q1 FY25 was at 4.25% as compared to 4.29% registered in Q1 FY24.
The bank's pre provision operating profit (PPOP) stood at Rs 3,952 crore in the June quarter, up 3% from Rs 3,831 crore reported in the same period a year ago. PPOP/average advances ratio for the quarter ended 30 June 2024 came in at 4.78%.
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Operating expenses during the quarter was at Rs 3,897 crore, up 20% YoY.
On asset quality front, the bank's gross non-performing assets (NPAs) stood at Rs 7,126.8 crore as on 30 June 2024 as against Rs 5,941.12 crore as on 30 June 2023.
The gross NPA was at 2.02% of gross advances as on 30 June 2024 as against 1.94% as on 30 June 2023. The net NPA stood at 0.60% of net advances as on 30 June 2024 as compared to 0.58% as on 30 June 2023.
The provision coverage ratio was consistent at 71% as at 30 June 2024. Provisions and contingencies for the quarter ended 30 June 2024 were at Rs 1,050 crore as compared to Rs 991 crore for the corresponding quarter of previous year, increased by 6% YoY. Total loan related provisions as on 30 June 2024 were at Rs 7,537 crore (2.2% of loan book).
Deposits as on 30 June 2024 stood at Rs 3,98,513 crore as against Rs 3,47,047 crore, an increase of 15% over 30 June 2023.CASA deposits increased to Rs 1,46,134 crore with current account deposits at Rs 48,475 crore and savings account deposits at Rs 97,659 crore. CASA deposits comprised 37% of total deposits as at 30 June 2024.
Advances as of 30 June 2024 was at Rs 3,47,898 crore as against Rs 3,01,317 crore, registering a growth of 15% as compared to 30 June 2023.
The banks total capital adequacy ratio as per Basel III guidelines stood at 17.55% as on 30 June 2024, as compared to 18.40% as on June 30, 2023. Tier 1 CRAR was at 16.15% as on June 30, 2024 compared to 16.44% as on June 30, 2023. Risk-Weighted Assets were at Rs 3,88,838 crore as against Rs 3,34,370 crore a year ago.
Sumant Kathpalia, managing director and CEO, IndusInd Bank, said, "Indian economy during the last quarter too maintained its robust momentum. Certain pockets of economy, especially on the rural segments, was impacted by the activity related to the general elections and heat wave. The bank navigated these external factors well during the quarter and we are seeing underlying businesses already coming back to normalcy.
The bank focused on balanced growth between loans and deposits, both growing by 15% YoY. The asset quality metrics have remained well within banks expected range. The balance sheet metrics in terms of liquidity, capital adequacy, NPA coverage were stable or better during the quarter. The bank consequently posted profits after tax of Rs 2,171 crore. The bank remains well positioned to deliver its strategic growth aspirations participating in the India's vision to be a developed economy"
IndusInd Bank caters to both consumer and corporate customers. As of 30 June 2024, the banks distribution network included 3,013 branches/ banking outlets and 2,988 onsite and offsite ATMs, as against 2,606 branches/banking outlets and 2,875 onsite and offsite ATMs, as of 30 June 2023. The client base stood at approximately 41 million as on 30 June 2024.
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