IndusInd Bank's Q2 standalone net profit falls 53% to ₹647 cr1 min read . Updated: 30 Oct 2020, 06:25 PM IST
Provisions for bad loans and contingencies in the September quarter more than doubled to ₹1,964 cr from ₹737.71 cr in the year-ago period
New Delhi: Private lender IndusInd Bank on Friday reported 53% drop in its standalone net profit for the quarter ending 30 September, 2020 at ₹647 crore. It was ₹1,383 crore in the year-ago period.
Provisions for bad loans and contingencies in the September quarter more than doubled to ₹1,964.44 crore from ₹737.71 crore in the year-ago period.
"The extent to which COVID-19 pandemic will impact the Bank's operations and financial results is dependent on the future developments, which are highly uncertain. In view of the same, the Group has made incremental regulatory, floating, counter cyclical and/or contingent provisions amounting to Rs. 952 crores during the quarter ended September 30, 2020, taking the total amount of such provisions to ₹2,155 crores as of September 30, 2020," the bank said.
On the standalone basis, total income fell to ₹8,731.05 crore in the second quarter of the current financial year. In the same period a year ago, it stood at ₹8,877.02 crore, IndusInd Bank said in a regulatory filing.
The bank's gross Non-Performing Assets (NPAs) slightly increased to 2.21 per cent of the gross advances as of September 30, 2020 from 2.19 per cent in the year-ago period.
In value terms, the gross NPAs touched ₹4,532.15 crore in the latest September quarter as against ₹4,370.20 crore in the same period a year ago.
Net NPAs, however, came down substantially to 0.52 per cent ( ₹1,055.81 crore) from 1.12 per cent ( ₹2,202.57 crore).
On a consolidated basis, the lender's net profit dipped to ₹663.08 crore in the latest September quarter from ₹1,400.96 crore in the same period a year ago.
Total income declined to ₹8,731.52 crore in the three months ended September 2020. It was at ₹8,877.53 crore in the year-ago period.
The consolidated results included statements from Bharat Financial Inclusion (subsidiary) and IndusInd Marketing and Financial Services (associate)
On Friday, IndusInd Bank's scrip on BSE closed 0.59% lower at ₹585.20.
With PTI inputs