IndusInd Bank Q4 Results: Net Profit Jumps 50 Per Cent To Rs 2,040 Crore

IndusInd Bank's board of directors has also recommended a dividend of Rs 14 per equity share

IndusInd Bank's net interest margin for Q4FY23 stood at 4.28 per cent against 4.20 per cent for Q4FY22 and 4.27 per cent for Q3FY23.

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IndusInd Bank on Monday posted a 50 per cent jump in its standalone net profit to Rs 2,040 crore for the quarter ended March (Q4FY23). The previous net profit was Rs 1,361 crore in the same quarter last year. The board of directors has also recommended a dividend of Rs 14 per equity share.

During the quarter ended March, the interest earned by the lender rose 17 per cent to Rs 4,669 crores. The net interest margin for Q4FY23 stood at 4.28 per cent against 4.20 per cent for Q4FY22 and 4.27 per cent for Q3FY23.

The bank’s gross bad loans as a percentage of total loans, a measure of asset quality, improved to 1.98 per cent at the end of March, from 2.06 per cent at the end of December. Its net non-performing assets (NPA) ratio also fell to 0.59 per cent from 0.62 per cent.

For the year ending March 2023, the bank's net interest income increased to Rs 17,592 crore, up 17 per cent from Rs 15,001 crore previous year. The fee income also rose to at Rs 8,173 crore as compared to previous year at Rs 7,345 crore.

For the year ended March 31, 2023, the bank earned total income (Interest Income and Fee Income) of Rs 4,541 crore as compared to Rs 38,167 crore for the previous year.

Operating expenses for the full financial year ended March 31 were Rs 11,346 crore as against Rs 9,311 crore for the previous year.

Meanwhile, state-owned Bank of Maharashtra (BoM) on Monday reported a more than two-fold jump in its net profit to Rs 840 crore for the March quarter, helped by a decline in bad loans and a rise in interest income. The bank had earned a net profit of Rs 355 crore in the year-ago period.

During the quarter, the bank's total income increased to Rs 5,317 crore as against Rs 3,949 crore a year ago, BoM said in a regulatory filing. Interest income grew to Rs 4,495 crore during the period under review, from Rs 3,426 crore in the corresponding quarter a year ago.

The bank's board has recommended a dividend of Rs 1.30 per share or 13 per cent of Rs 10 face value out of the net profits for the year ended March 31, 2023.

Gross Non-Performing Assets (NPAs) were reduced to 2.47 per cent of gross advances as of March 31, 2023 from 3.94 per cent by the end of March 2022.