IndusInd Bank logs 53% yoy growth in Net Profit in Q3FY23; stock trades ~2% lower

19 Jan 2023 , 12:01 PM

On the back of strong credit growth and falling provisions, private lender IndusInd Bank reported a 58% yoy increase in its December quarter net profit to Rs1,964 crore on Wednesday. In the same quarter last year, the bank reported Rs1,242 crore in profits.

The bank reported an 18% yoy increase in net interest income, or core income, to Rs4,495 crore from Rs3,793 crore the previous year. For the December quarter, the net interest margin was 4.27%.

The gross non-performing loan ratio was 2.06% at the end of the December quarter, down from 2.48% the previous year. The net non-performing loan ratio was 0.62%, down from 0.71% the previous year. 

Fresh slippages from the consumer banking sector remained high. The majority of the additions (Rs1,348 crore) to the total new bad loans of Rs1,467 crore came from the consumer segment. Loans totaling Rs1,055 crore were transferred from the standard book to the bad book.

Provisions decreased by 36% year on year to Rs1,065 crore, compared to Rs1,654 crore in the same period last year.

Total advances increased by more than 19% to Rs2.72 lakh crore, with the vehicle finance portfolio growing by 18% and the corporate loan book growing by 20%. Deposits increased by 14% to 3.25 billion, with CASA (current account savings account) deposits increasing by 1.36 billion.

At around 11.55 PM, IndusInd Bank was trading 1.58% lower at Rs1,203.95 apiece, against the previous close of Rs1,223 on NSE. The counter touched an intraday high and low of Rs1,245 and Rs1,190.45 respectively.

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