|
Indusind
Bank has reported 17% growth in net profit at Rs 2297.85 crore for the
quarter ended December 2023 (Q3FY2024). The bank has posted healthy 18% growth
in net interest income (NII), while the core fee income of the bank also
improved 12% in Q3FY2024. The Net Interest Margin (NIM) of the bank improved to
4.29% in Q3FY2024 compared to 4.27% in the corresponding quarter of previous
year, while remained steady on sequential basis.
On business front, the bank as has posted 16% growth in business
with strong 20% surge in loan book. The asset quality of the bank was stable in
Q3FY2024. Bank has raised the credit to deposit ratio to 88.7% at end December
2023 from 83.9% at end December 2022. However, the CASA ratio of the bank has
declined to 38.5% at end December 2023 from 41.9% at end December 2022.
Asset quality improves: The bank has
maintained stable asset quality in Q3FY2024.
The fresh slippages of loans rose to Rs 1765 crore in Q3FY2024 compared
with 1465 crore in previous quarter and Rs 1467 crore in the corresponding
quarter last year.
The recoveries of NPAs stood at Rs 255 crore, upgradations at Rs
273 crore and the write-off of loans was at Rs 714 crore in Q3FY2024.
The standard restructured loan book of the bank eased to Rs 1570
crore end December 2023.
Provision coverage ratio was steady at 71.00% at end December 2023
compared to 71.00% a quarter ago and 71.00% a year ago.
The capital adequacy ratio of the bank stood at 17.9% with Tier I
ratio at 16.5% at end December 2023.
Risk-Weighted
Assets were at Rs 370412 crore end December 2023 as against Rs 322484 crore a
year ago.
|
Asset Quality Indicators: Indusind Bank
|
|
|
Dec/23
|
Sep/23
|
Jun/23
|
Mar/23
|
Dec/22
|
Variation
|
|
QoQ
|
YTD
|
YoY
|
|
Gross NPA (Rs Crore)
|
6377.05
|
6164.22
|
5941.12
|
5826.27
|
5710.78
|
3
|
7
|
12
|
|
Net NPA (Rs Crore)
|
1875.18
|
1813.76
|
1746.93
|
1714.96
|
1681.45
|
3
|
7
|
12
|
|
% Gross NPA
|
1.92
|
1.93
|
1.94
|
1.98
|
2.06
|
-1
|
-2
|
-14
|
|
% Net NPA
|
0.57
|
0.57
|
0.58
|
0.59
|
0.62
|
0
|
-1
|
-5
|
|
% PCR
|
71.00
|
71.00
|
71.00
|
71.00
|
71.00
|
0
|
0
|
0
|
|
% CRAR - Basel III
|
17.86
|
18.21
|
18.40
|
17.86
|
18.01
|
-35
|
-54
|
-15
|
|
% CRAR - Tier I - Basel III
|
16.47
|
16.75
|
16.89
|
16.37
|
16.47
|
-28
|
-42
|
0
|
|
Variation in basis points for figures given in percentages and
in % for figures in Rs crore
|
Business Highlights:
Healthy business growth: The business of
the bank has increased 16% YoY to Rs 695850 crore end December 2023, driven by
20% surge in advances to Rs 327057 crore. Deposits rose 13% to Rs 368793 crore
at end December 2023.
CASA deposits ratio declines: The CASA
deposits of the bank rose 4% YoY to Rs 141924 crore at end December 2023. The
current account deposits increased 13% to Rs 50044 crore, while saving account
deposits rose 2% to Rs 91880 crore end December 2023. The CASA ratio declined
to 38.5% at end December 2023 compared to 41.9% at end December 2022, while eased
from 39.3% a quarter ago. The term deposits have increased 20% to Rs 226869
crore end December 2023.
Strong loan growth: Advances growth
was driven by retail loans rising 24% YoY to Rs 180470 crore at end December
2023, while credit to MSME 17% to Rs 65615 crore at end December 2023. The
corporate credit has moved up 14% to Rs 80972 crore end December 2023.
Investment book of the bank jumped 28% YoY to Rs 97429 crore at
end December 2023.
Margins stable: The bank has
showed 97 bps YoY jump in cost of deposits to 6.44%, while yield on advances
increased 70 bps YoY to 12.45% in Q3FY2024. NIM has improved 2 bps YoY to
4.29%.
Branch expansion: The bank has
added 97 branches and 36 ATMs in Q3FY2024, taking overall tally to 2728
branches and 2939 ATM`s end December 2023. The client base stood at 38
million end December 2023.
Book value of the bank stood at Rs
778.2 per share at end December 2023, while the adjusted book value (net of
NNPA and 10% of restructured advances) was Rs 752.1 per share at end December
2023.
Quarterly Performance
NII rises on stable NIMs: Bank has
recorded 22% increase in the interest earned at Rs 11572.25 crore, while
interest expenses increased 26% to Rs 6276.62 crore in Q3FY2024. NII improved
18% to Rs 5295.63 crore in the quarter ended December 2023.
Healthy growth in the core fee income: Bank has posted strong 12% growth in core fee income to Rs 1889
crore, while the forex income rose 11% to Rs 276 crore. Treasury income jumped 70%
to Rs 231 crore, leading to 15% growth in the overall non-interest income to Rs
2395.85 crore in the quarter ended December 2023.
Expenses ratio rises: The operating
expenses of the bank increased 28% to Rs 3689.26 crore, as other expenses moved
up 27% to Rs 2662.57 crore, while employee expenses jumped 28% to Rs 1026.69
crore in Q3FY2024. Cost to income ratio moved up to 48.0% in Q3FY2024 compared
with 44.0% in Q3FY2023, allowing the Operating Profit to increase 9% to Rs
4002.22 crore.
Provisions and contingencies decline: The bank has showed -12% decline in provisions to Rs 934.23 crore.
Effective tax rate was steady at 25.1% in Q3FY2024 from 25.1%
in Q3FY2023. Net Profit rose by 17% YoY to Rs 2297.85 crore during quarter
ended December 2023.
Commenting
on the performance, Sumant Kathpalia, Managing Director & CEO, IndusInd
Bank said: “Indian economy continues to show robust momentum delivering real
GDP growth of 7.6% in Q2. The regulatory and fiscal policies have been
effectively mitigating geo-political uncertainties in the global economy.
IndusInd Bank too continues to participate in the healthy economic outlook. The
Bank’s loan book grew by 20% YoY driven by robust retail segment growing 24%
YoY. The asset quality metrics remained stable with GNPA at 1.92% and NNPA at
0.57%. The Profit After Tax was at Rs 2301 crore growing 17% YoY and 5% QoQ.
The Bank has healthy capital adequacy with CRAR at 17.86% end December 2023.
The Bank remains on track in executing its strategy of delivering Growth,
Granularity and Governance."
Financial Performance 9MFY2024
Bank has posted 23% increase in net profit to Rs 6602.94 crore in
the nine month ended December 2023 (9MFY2024). The net interest income
increased 18% to Rs 15239.47 crore, while non-interest income moved up 14% to
Rs 6887.37 crore, pushing up net total income by 17% to Rs 22126.84 crore in
9MFY2024. The operating expenses increased 25% to Rs 10413.67 crore, while
provision and contingencies declined 16% to Rs 2899.63 crore, allowing profit
before tax to increase 23% to Rs 8813.54 crore in 9MFY2024. The cost-to-income
ratio increased to 47.1% in 9MFY2024 compared to 44.1% in 9MFY2023. An
effective tax rate was steady at 25.1% in 9MFY2024 compared to 25.0% in
9MFY2023. The net profit has increased 23% to Rs 6602.94 crore in 9MFY2024.
|
Indusind
Bank: Results
|
|
Particulars
|
2312
(3)
|
2212
(3)
|
Var %
|
2312
(9)
|
2212
(9)
|
Var %
|
2303
(12)
|
2203
(12)
|
Var %
|
|
Interest Earned
|
11572.25
|
9457.40
|
22
|
33549.68
|
26347.20
|
27
|
36367.91
|
30822.44
|
18
|
|
Interest Expended
|
6276.62
|
4962.06
|
26
|
18310.21
|
13424.55
|
36
|
18775.80
|
15821.60
|
19
|
|
Net Interest Income
|
5295.63
|
4495.34
|
18
|
15239.47
|
12922.65
|
18
|
17592.11
|
15000.84
|
17
|
|
Other Income
|
2395.85
|
2076.34
|
15
|
6887.37
|
6015.86
|
14
|
8166.37
|
7334.20
|
11
|
|
Net Total Income
|
7691.48
|
6571.68
|
17
|
22126.84
|
18938.51
|
17
|
25758.48
|
22335.04
|
15
|
|
Operating Expenses
|
3689.26
|
2891.30
|
28
|
10413.67
|
8344.80
|
25
|
11412.00
|
9559.29
|
19
|
|
Operating Profits
|
4002.22
|
3680.38
|
9
|
11713.17
|
10593.71
|
11
|
14346.48
|
12775.75
|
12
|
|
Provisions & Contingencies
|
934.23
|
1064.73
|
-12
|
2899.63
|
3456.78
|
-16
|
4486.83
|
6602.10
|
-32
|
|
Profit Before Tax
|
3067.99
|
2615.65
|
17
|
8813.54
|
7136.93
|
23
|
9859.65
|
6173.65
|
60
|
|
EO
|
0.00
|
0.00
|
-
|
0.00
|
0.00
|
-
|
0.00
|
0.00
|
-
|
|
PBT after EO
|
3067.99
|
2615.65
|
17
|
8813.54
|
7136.93
|
23
|
9859.65
|
6173.65
|
60
|
|
Provision for tax
|
770.14
|
656.45
|
17
|
2210.60
|
1787.72
|
24
|
2469.93
|
1562.53
|
58
|
|
PAT
|
2297.85
|
1959.20
|
17
|
6602.94
|
5349.21
|
23
|
7389.72
|
4611.12
|
60
|
|
EPS*(Rs)
|
118.3
|
100.9
|
|
113.8
|
92.2
|
|
95.0
|
59.3
|
|
|
Adj BV (Rs)
|
752.1
|
652.0
|
|
752.1
|
652.0
|
|
674.8
|
584.0
|
|
|
*
Annualized on current equity of Rs 773.73 crore. Face Value: Rs 10, Figures
in Rs crore
|
|
Source:
Capitaline Corporate Database
|
|