IndusInd Bank Q2 Profit Up By 30%
Private sector lender IndusInd Bank has announced its financial results for quarter ended 30 September, 2014 on October 13, 2014. On standalone basis, the net profit of the bank grew by 30% to Rs 430.2 crore against Rs 330.23 crore in the corresponding quarter of the previous year. The rise in the net profit was due to growth in other income and Net Interest Income (NII).
NII of the bank recorded growth of 19% on Y-o-Y basis to Rs 833.11 crore in Q2FY15 as against Rs 699.94 crore in Q2FY14. The total advances of the bank recorded growth of 22% to Rs 59931 crore as compared to Rs 48968 crore in the corresponding quarter of the previous year. However, the Net Interest Margin (NIM) declined marginally for the current quarter and stood at 3.63% as against 3.65% in the corresponding quarter of the previous year.
The other income of the bank has increased by 34% on yearly basis to Rs 558.27 crore for Q2FY15. The increase in the other income was backed by the rise in the core fee income which marked a sustained growth of 31% on yearly basis to Rs 509.30 crore for Q2FY15. The provisions and contingencies of the bank declined by 17% to Rs 73.20 crore in the quarter ended September 2014 against Rs 88.86 crore in year-ago period.
Asset quality of the bank remained stable for the quarter. In absolute terms the gross non-performing assets (NPA) and the net NPA remained unchanged at Rs 654.54 crore and Rs 195 crore respectively. As percentage of advances, the gross NPA of the bank declined marginally to 1.08% from 1.11% on sequential basis. However, the net NPA remained unchanged at 0.33% in the same time.
The bank announced its result during the trading hours today. Post the results the shares of the bank closed up by 1.92%. Commenting on the performance, Mr. Romesh Sobti, MD & CEO, IndusInd bank said, "This quarter, the bank has sustained its growth momentum in key ratios. The bank has shown growth in the bottom line resulting from robust improvement in income streams and active cost management."