Mumbai: Axis Bank on Monday said its first-quarter net profit dipped 46.30% to 701.09 crore, year on year, on the back of higher provisions and lower other income.

The bank’s net profit was 1,305.60 crore in the same quarter last year.

The net profit was higher than the 624.2 crore estimated by a Bloomberg poll of 16 analysts.

The bank had posted a net loss of 2,188.74 crore in the January-March quarter.

Axis Bank increased provisions by 42.52% during the quarter to 3,337.70 crore from 2,341.93 crore in the year-ago quarter. In the January-March quarter, the bank had set aside 7,179.53 crore as provisions.

Gross non-performing assets (NPAs), as a percentage of total advances, were 6.52% in the June quarter compared with 6.77% in the March quarter and 5.03% in the year-ago quarter.

Post-provision, the net NPA ratio was 3.09% against 3.40% in the January-March quarter and 2.30% in the year-ago quarter.

Net interest income, or the difference between interest earned on loans and that paid on deposits, increased 11.93% to 5,166.80 crore from 4,616.14 crore in the corresponding period last year.

Other income, which includes core fee income, dropped 2.49% to 2,924.99 crore in the three months ended 30 June from 2,999.81 crore a year ago.

Axis Bank shares gained 2.67% to close at 568.45 on the BSE, while the Sensex gained 0.42% to close at 3,7494.40 points.

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