Latest News | IndusInd Bank Reports 15 Pc Growth in Q4 Net Profit on Core Income Growth
Get latest articles and stories on Latest News at LatestLY. IndusInd Bank on Thursday reported a 15 per cent growth in consolidated net profit to Rs 2,349.15 crore in the March quarter, driven by core income growth.
Mumbai, Apr 25 (PTI) IndusInd Bank on Thursday reported a 15 per cent growth in consolidated net profit to Rs 2,349.15 crore in the March quarter, driven by core income growth.
The city-based private sector bank's net profit for the entire FY24 increased 21 per cent to Rs 8,977 crore from Rs 7,443 crore.
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Its core net interest income for the quarter grew 15 per cent to Rs 5,376 crore, on the back of an 18 per cent growth in advances and a slight compression in the net interest margin at 4.26 per cent.
Its chief executive officer and managing director Sumant Kathpalia told reporters that the bank will be aiming for a loan growth between 18 per cent and 22 per cent for FY25, and the NIMs (net interest margin) will come at 4.2-4.3 per cent in the coming quarters.
The bank reported a 14 per cent growth in deposits, and Kathpalia said deposit accretion has been an issue due to the tight liquidity conditions.
It reported a 16 per cent growth in the other income to Rs 2,508 crore, which included booking a core fee income of Rs 2,293 crore.
The loan growth was driven by both retail and corporate, and the mix between the two stands at 56:44 in favour of the small-value, high-margin retail loans.
On the asset quality front, the gross slippages stood at Rs 1,428 crore and a majority, Rs 1,266 crore, came from consumer loans.
Its gross non-performing assets ratio was at 1.92 per cent, the same level as the preceding December quarter.
The bank reported a sizable growth in operating expenses in FY24 to Rs 14,148 crore as against Rs 11,346 crore in the year-ago period, and the cost to income ratio came at 48.23 per cent.
Kathpalia said the IT spends are currently between 8-10 per cent of the cost to income.
The overall number of branches grew to 2,984 at the end of March, and Kathpalia said the target is to have 3,500 branches in the next two years.
When asked about the promoter Hinduja family's interest in upping the stake in the bank, Kathpalia said the bank is not privy to any communication between the RBI and the family.
Shares of IndusInd Bank closed 1.46 per cent higher at Rs 1,496.15 apiece on the BSE on Thursday, as against gains of 0.66 per cent on the benchmark.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)