Get Instant Loan up to ₹10 Lakh!
IndusInd Bank Q1 Results: Net profit rises 2% to ₹2,171 crore, NII up 11% YoY
- IndusInd Bank Q1 Results: The private sector lender's net interest income (NII)- the difference between interest earned and paid - in the first quarter of current fiscal rose 11.1 per cent to ₹5,408 crore
IndusInd Bank Q1 Results: IndusInd Bank announced its April-June quarter results for fiscal 2024-25 (Q1FY25) on Friday, July 26, reporting a rise of 2.2 per cent in consolidated net profit at ₹2,171 crore, compared to ₹2,123.6 crore in the corresponding period last year. The bank was hurt by slower loan growth due to cautious disbursals in the June quarter while lending margin shrunk slightly.
The private sector lender's net interest income (NII)—the difference between interest earned and paid—rose 11.1 per cent to ₹5,408 crore in the first quarter of the current fiscal, compared to ₹4,867 crore in the year-ago period.
Also Read: IndusInd Bank stock likely to gain nearly 40%, believes ICICI Securities — here’s why
IndusInd Bank Q1 Results - Key Metrics
IndusInd Bank's net loans and deposits both grew 15 per cent in the quarter-under-review. The loan growth was smaller compared to an 18 per cent jump last quarter and a 22 per cent growth a year earlier.
"Collections and cautious disbursals were the focus this quarter given external disturbances," Managing Director Sumant Kathpalia said in a post-earnings call. Disbursements in microfinance and vehicle finance, which contribute about 38 per cent to the loan book, were lower due to the elections and impact of heatwaves in rural regions, Kathpalia added.
Net interest margin (NIM) shrunk marginally 4.25 per cent from 4.26 per cent in the previous quarter and 4.29 per cent a year earlier. NIM reflects the margin earned by a bank in its core lending business, and is a key metric of profitability.
IndusInd Bank's asset quality deteriorated, with gross non-performing assets ratio (NPA) at 2.02 per cent at the end of June, compared with 1.92 per cent three months earlier. Net NPAs also rose to 0.60 per cent of the advances, from 0.58 per cent at the end of first quarter of last year.
As a result, provisions other than tax and contingencies rose to ₹1,050 crore, as against ₹992 crore earmarked during the same quarter a year ago. The Capital Adequacy Ratio (CRAR) marginally declined to 17.55 per cent, as compared to 18.40 per cent on June 30, 2023.
On Friday, shares of IndusInd Bank settled 1.68 per cent higher at ₹1,403.40 apiece on the BSE.
Catch all the Business News , Corporate news , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
Business NewsCompaniesCompany ResultsIndusInd Bank Q1 Results: Net profit rises 2% to ₹2,171 crore, NII up 11% YoY
First Published:26 Jul 2024, 03:47 PM IST
- Top Gainers
- Top Losers
- 52 Week High