IndusInd Bank reported a 17.1% year-on-year increase in net profit to Rs 2,301 crore for the fiscal third quarter ended December compared to Rs 1,963.64 crore a year ago.

This rise came on the back of higher interest income and lower provisions despite fresh slippages in the quarter.

Net interest income

The private sector lender’s net interest income for the December quarter grew 18% YoY to Rs 5,296 crore and 4% quarter-on-quarter. 

Net interest margin (NIM) was at 4.29%, same as in the preceding quarter. In the year-ago period, NIM was at 4.27%.

Loan growth

The bank’s loan book grew 20% YoY to Rs 3.27 lakh crore. This was driven by retail loans which grew 24% YoY.

The lender is looking at a credit growth of 18-22% for FY24 and FY25. 

Deposit growth

The bank’s deposits grew 13% YoY to Rs 3.68 lakh crore for the fiscal third quarter ended December 2023.

NPAs

The bank’s gross non-performing asset (NPA) fell to 1.92% from 2.06% a year ago and 1.93% a quarter ago.

Net NPA improved to 0.57% from 0.66% a year ago.

The bank added bad loans worth Rs 1,765 crore in the quarter. While Rs 1,453 crore came from consumer loans, Rs 312 crore was from corporate loans business.

Provisions fell 9% YoY to Rs 969 crore compared to Rs 1,065 crore a year ago.