|
IDFC First Bank has reported 10% decline in net profit at Rs 724.35 crore
for the quarter ended March 2024 (Q4FY2024). The bank has posted healthy 24%
growth in net interest income (NII), while the core fee income of the bank also
improved 36% in Q4FY2024. The Net Interest Margin (NIM) of the bank eased
marginally to 6.36% in Q4FY2024 compared to 6.41% in the corresponding quarter
of previous year.
On business front, the bank as has posted 32% growth in business
with strong 25% surge in loan book. The asset quality of the bank has improved
in Q4FY2024. Bank has substantially reduced the credit to deposit ratio to
100.2% at end March 2024 from 111.0% at end March 2023. The CASA ratio of the
bank has improved on sequential basis to 47.2% at end March 2024 and eased from
49.8% at end March 2023.
Asset quality improves: The bank has
improved asset quality in Q4FY2024.
The fresh slippages of loans stood at Rs 1347 crore in Q4FY2024
compared with 1422 crore in previous quarter and Rs 1059 crore in the
corresponding quarter last year.
The recoveries, upgradations and write off of NPAs was at Rs 1404
crore in Q4FY2024.
The standard restructured loan book of the bank stood at Rs 623
crore end March 2024.
Provision coverage ratio increased to 86.60% at end March 2024
compared to 84.68% a quarter ago and 80.29% a year ago.
The capital adequacy ratio of the bank stood at 16.1% with Tier I
ratio at 13.4% at end March 2024.
The risk weighted assets of the bank has increased 33% YoY to Rs
231576 crore end March 2024,
|
Asset Quality Indicators: IDFC First Bank
|
|
|
Mar-24
|
Dec-23
|
Sep-23
|
Jun-23
|
Mar-23
|
Variation
|
|
QoQ
|
YoY
|
|
Gross NPA (Rs Crore)
|
3718.36
|
3775.39
|
3747.80
|
3603.38
|
3884.45
|
-2
|
-4
|
|
Net NPA (Rs Crore)
|
1160.46
|
1250.34
|
1192.50
|
1149.03
|
1304.05
|
-7
|
-11
|
|
% Gross NPA
|
1.88
|
2.04
|
2.11
|
2.17
|
2.51
|
-16
|
-63
|
|
% Net NPA
|
0.60
|
0.68
|
0.68
|
0.70
|
0.86
|
-8
|
-26
|
|
% PCR
|
86.60
|
84.68
|
84.09
|
83.12
|
80.29
|
192
|
631
|
|
% CRAR - Basel III
|
16.11
|
16.73
|
16.54
|
16.96
|
16.82
|
-62
|
-71
|
|
% CRAR - Tier I - Basel III
|
13.36
|
13.95
|
13.49
|
13.70
|
14.20
|
-59
|
-84
|
|
Variation in basis points for figures given in percentages and
in % for figures in Rs crore
|
Business Highlights:
Strong business growth: The business of
the bank has increased 32% YoY to Rs 401541 crore end March 2024, driven by 25%
surge in advances to Rs 200965 crore. Deposits galloped 39% to Rs 200576 crore
at end March 2024.
CASA deposits ratio rises on sequential basis: The CASA deposits of the bank increased 32% YoY to Rs 94768 crore
at end March 2024. The CASA ratio declined to 47.2% at end March 2024 compared
to 49.8% at end March 2023, while improved from 46.8% a quarter ago. The term
deposits have increased 46% to Rs 105808 crore end March 2024.
Strong loan growth: Advances growth
was driven by retail loans rising 31% YoY to Rs 119131 crore at end March 2024,
while credit to agriculture increased 25% to Rs 23882 crore and MSME 25% to Rs
24816 crore at end March 2024. The corporate credit has increased 8% to Rs
33136 crore end March 2024.
Investment book of the bank increased 22% YoY to Rs 74710 crore at end March
2024.
Margins ease marginally: The NIM has declined
5 bps YoY and 6 bps qoq to 6.36% in Q4FY2024.
Branch expansion: The bank has
added 47 branches and 28 ATMs in Q4FY2024, taking overall tally to 944 branches
and 1164 ATM`s end March 2024.
Book value of the bank stood at Rs 45.4
per share at end March 2024, while the adjusted book value (net of NNPA and 10%
of restructured advances) was Rs 43.7 per share at end March 2024.
Quarterly Performance
NII rises on strong loan growth and steady NIMs: Bank has recorded 28% increase in the interest earned at Rs
8219.21 crore, while interest expenses increased 33% to Rs 3750.34 crore in
Q4FY2024. NII improved 24% to Rs 4468.87 crore in the quarter ended March 2024.
Healthy growth in the core fee income: Bank has posted strong 36% growth in core fee income to Rs 1610
crore, while the treasury income declined 85% to Rs 32 crore. The overall
non-interest income increased 17% to Rs 1642.00 crore in the quarter ended
March 2024.
Expenses ratio rises: The operating
expenses of the bank increased 29% to Rs 4446.96 crore, as other expenses moved
up 30% to Rs 3118.95 crore, while employee expenses increased 28% to Rs 1328.01
crore in Q4FY2024. Cost to income ratio increased to 72.8% in Q4FY2024 compared
with 68.8% in Q4FY2023. Operating Profit rose 7% to Rs 1663.91 crore.
Provisions and contingencies jump: The bank has showed 50% surge in provisions to Rs 722.31 crore.
Effective tax rate declined to 23.1% in Q4FY2024 from 25.4% in
Q4FY2023. Net Profit fell 10% YoY to Rs 724.35 crore during quarter ended March
2024.
Financial Performance FY2024
Bank has posted 21% increase in net profit to Rs 2956.51 crore in
the year ended March 2024 (FY2024). The net interest income increased 30% to Rs
16450.75 crore, while non-interest income moved up 34% to Rs 6002.00 crore,
pushing up net total income by 31% to Rs 22452.75 crore in FY2024. The
operating expenses increased 33% to Rs 16215.78 crore, while provision and
contingencies galloped 43% to Rs 2381.65 crore, allowing profit before tax to
increase 18% to Rs 3855.32 crore in FY2024. The cost-to-income ratio rose to
72.2% in FY2024 compared to 71.2% in FY2023. An effective tax rate declined to
23.3% in FY2024 compared to 25.4% in FY2023. The net profit has increased 21%
to Rs 2956.51 crore in FY2024
|
IDFC
First Bank: Results
|
|
Particulars
|
2403
(3)
|
2303
(3)
|
Var %
|
2403
(12)
|
2303
(12)
|
Var %
|
|
Interest Earned
|
8219.21
|
6424.35
|
28
|
30322.50
|
22727.54
|
33
|
|
Interest Expended
|
3750.34
|
2827.60
|
33
|
13871.75
|
10092.21
|
37
|
|
Net Interest Income
|
4468.87
|
3596.75
|
24
|
16450.75
|
12635.33
|
30
|
|
Other Income
|
1642.00
|
1397.48
|
17
|
6002.00
|
4466.97
|
34
|
|
Net Total Income
|
6110.87
|
4994.23
|
22
|
22452.75
|
17102.30
|
31
|
|
Operating Expenses
|
4446.96
|
3435.57
|
29
|
16215.78
|
12170.35
|
33
|
|
Operating Profits
|
1663.91
|
1558.66
|
7
|
6236.97
|
4931.95
|
26
|
|
Provisions & Contingencies
|
722.31
|
482.43
|
50
|
2381.65
|
1664.82
|
43
|
|
Profit Before Tax
|
941.60
|
1076.23
|
-13
|
3855.32
|
3267.13
|
18
|
|
EO
|
0.00
|
0.00
|
-
|
0.00
|
0.00
|
-
|
|
PBT after EO
|
941.60
|
1076.23
|
-13
|
3855.32
|
3267.13
|
18
|
|
Provision for tax
|
217.25
|
273.61
|
-21
|
898.81
|
830.00
|
8
|
|
PAT
|
724.35
|
802.62
|
-10
|
2956.51
|
2437.13
|
21
|
|
EPS*(Rs)
|
4.1
|
4.5
|
|
4.2
|
3.4
|
|
|
Adj BV (Rs)
|
43.7
|
36.7
|
|
43.7
|
36.7
|
|
|
*
Annualized on current equity of Rs 7071.26 crore. Face Value: Rs 10, Figures
in Rs crore
|
|
Source:
Capitaline Corporate Database
|
|