IndusInd Bank Q2 net profit rises 25% to Rs880 crore
Mumbai: IndusInd Bank Ltd on Thursday said its net profit for the September quarter rose 25% from a year ago due to higher net interest income and other income.
Net profit for the quarter stood at Rs880.10 crore versus Rs704.26 crore a year ago. According to estimates of 15 Bloomberg analysts, the bank was expected to report a profit of Rs886.50 crore.
Net interest income or the core income a bank earns by giving loans increased 24.7% to Rs1,820.99 crore from Rs1,460.31 crore last year. Other income was at Rs1,187.57 crore, up 22.38% from Rs970.42 crore.
Provisions and contingencies surged 37.34% to Rs293.75 crore against Rs213.88 crore in the same quarter last year. On quarter-on-quarter basis, it declined 5.23% from Rs309.97 crore.
Gross non-performing assets (NPAs) rose 49.64% to Rs1,345.28 crore from Rs899.01 crore a year ago.
As a percentage of total loans, gross NPAs stood at 1.08% as compared to 1.09% in the previous quarter and 0.9% in the year-ago quarter. Net NPAs were at 0.44% in the June quarter compared to 0.37% in the previous quarter and 0.44% in the same quarter last year.
Advances for the quarter rose 24.5% to Rs1.23 trillion from a year ago. Deposits rose 26% to Rs1.41 trillion.
The bank said it is still evaluating the deal with Bharat Financial Inclusion Ltd. In September, IndusInd Bank and Bharat Financial Inclusion Ltd announced that they will start talks for a merger.
At 2.07pm, IndusInd Bank was trading at Rs1,729.90 on the BSE, up 0.73% from previous close, while India’s benchmark Sensex index rose 0.47% to 31,983.91 points.