Axis Bank reported a net profit of Rs 7,130 crore for the quarter ended 31 March 2024, as against a loss of Rs 5,728.42 crore a year ago.

The numbers, however, can’t be compared as the consumer business of Citi India was merged with Axis in the fourth quarter of FY23.

Net interest income grew to Rs 13,089 crore for the fiscal fourth quarter ended March 2024, up 11.5% year-on-year. Fee income grew 23% to Rs 5,637 crore. 

Net interest margin for the quarter was 4.06%, up 5 basis points sequentially.

Provision for the quarter was Rs 1,185.31 crore as compared to Rs 305.77 crore.

Fresh slippages during the quarter was Rs 3,471 crore. Provision coverage ratio was at 79%.

Full fiscal

For the full year, Axis Bank reported a net profit of Rs 24,861.43 crore, up from Rs 9,579.68 a year ago.

Meanwhile, the NII for FY24 stood at 1,09,368.63 crore versus Rs 85,163.77 crore in FY23.

Asset quality

The bank’s asset quality improved, with gross non-performing asset (NPA) standing at 1.43% as of 31 March 2024 versus 1.58% a quarter ago.

Net NPA was at 0.31%, down from 0.36% in the preceding quarter.

Recoveries from written off accounts for the quarter was at Rs 919 crore.

Reported net slippages in the March quarter adjusted for recoveries from written off pool was Rs 398 crore. Gross slippages were at Rs 3,471 crore, compared to Rs 3,715 crore in Q3FY24 and Rs 3,375 crore in Q4FY23. 

Recoveries and upgrades  from NPAs during the quarter were at Rs 2,155 crore. The bank in the quarter wrote off NPAs aggregating Rs 2,082 crore.

Deposits

The total deposits grew 13% YoY and 6% QoQ. While savings account deposits grew 2% YoY and 4% QoQ, the current account deposits grew 5% YoY and 18% QoQ. Total term deposits rose 22% YoY and 5% QoQ, of which retail term deposits grew 17% YoY and 5% QoQ. 

The share of CASA deposits in total deposits stood at 43%.

Advances

The bank’s loan book grew 14% YoY to Rs 9.65 trillion, mainly due to 20% rise in retail loans which form 60% of the bank’s net advances.

Capital raising

The company's board has approved raising of funds by issue of debt instruments in Indian/foreign currency up to an amount of Rs 35,000 crore. 

It plans to raise an additional Rs 20,000 crore by issue of equity shares/ depository receipts and/or any other instruments linked to equity shares.