Mumbai: Private sector Axis Bank has clocked a net profit of Rs2,514.53 crore in FY10, up 38.51% from Rs1,815.36 crore in the year-ago period.
“We are very gratified with the results,” Axis Bank executive director and CFO Somnath Sengupta told PTI on Tuesday.
A significant highlight of the bank’s performance was its current account, savings account (CASA) deposits standing at 46%, its highest-ever.
“This high percentage helps us to maintain our cost of funds as also our net interest margins (NIMs),” Sengupta said.
The lender’s gross NPAs stood at 1.13% and net NPAs at 0.36%.
“We have also gradually increased our provisioning coverage to 72% as against the RBI’s requirement of 70%,” he said.
Fee income growth, too, was healthy, he said, adding that it comprised loan processing fees, third-party sales, cash management services and forex income.
On the outlook for this fiscal (FY11), Sengupta said the bank was targeting a credit growth of 25%.
“If economic growth continues at the present level, we are confident of achieving a loan growth of 25%, above the industry average,” he said.