Wednesday, 17 October, 2018

IndusInd Bank Q3 net rises 25% to Rs 936.25 cr

IndusInd Bank Q3 net rises 25% to Rs 936.25 cr IndusInd Bank Q3 net rises 25% to Rs 936.25 cr
Stacy Diaz | 13 January, 2018, 07:06

The Hinduja-promoted bank reported a 25 per cent rise in the third-quarter net profit at Rs 936.25 crore helped by higher core income.

Its net interest income (NII) grew by 20% to Rs. 1,895 crore on the back 25% year-on-year credit growth, while non-interest income growth was 17% to Rs. 1,187 crore.

Total income of the bank increased 16.06% to Rs 54.73 billion during the quarter from Rs 47.16 billion in the corresponding period a year ago.

IndusInd Bank reported its quarterly results which were in-line with street estimates for Q3FY18.The bank's asset quality weakened while profitability improved on a quarterly basis.

IndusInd Bank managing director and CEO Romesh Sobti pointed out that the balance sheet size of the bank has crossed Rs 2 lakh crore for the first time.

Gross non-performing assets (NPAs) advanced 54.25% to Rs1,498.70 crore at the end of the December quarter from Rs971.62 crore in the same quarter past year.

Net Interest Margin (NIM) remained subdued in Q3FY18 to 3.99%, compared to 4% each witnessed in Q3FY17 and Q2FY18 respectively.

In it's financial audit, IndusInd stated that they have transferred an amount of Rs 70 crore towards floating provisions for advances during the quarter ended June 30, 2017.

IndusInd bank's provisions and contingencies rose to Rs 236.16 crore in the third quarter compared with Rs 216.85 crore in the same period past year.

The bank maintained its net interest margin at 4 per cent level even as the share of high-margin retail loans grew to 24 per cent during the reporting quarter. Other income of the bank stood at ₹194.62 crore (₹133.59 crore) during the period.

Shares of the company declined Rs 36.15, or 2.06%, to settle at Rs 1,698.60.