The private lender's standalone net profit surged 68.71% to Rs 1,959.20 crore on 19.96% rise in total income to Rs 11,533.74 crore in Q3 FY23 over Q3 FY22.
IndusInd Bank's consolidated net profit stood at Rs 1,963.64 crore in quarter ended 31 December 2022 as compared to Rs 1,241.55 core posted in Q3 FY22, registering a growth of 58.16%.
The bank's consolidated financial results include the financial results of its wholly owned subsidiary, Bharat Financial Inclusion (BFIL), a business correspondent (BC) of the bank involved in originating small ticket MFI loans for the bank and Induslnd Marketing and Financial Services (IMFS), an associate of the bank.
Consolidated total income rose by 19.96% year on year to Rs 11,533.89 crore during the period under review.
Net interest income (NII) improved to Rs 4,495 crore in Q3 FY23 (up 18% YoY and up 4% QoQ). Net interest margin (NIM) for Q3 FY23 stood at 4.27% against 4.10% in Q3 FY22 and 4.24% in Q2 FY23.
The bank's pre provision operating profit (PPOP) was at Rs 3,686 crore for the quarter ended 31 December 2022, registering a growth of 11% from Rs 3,312 crore reported in the corresponding quarter previous year.
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On asset quality front, the bank's gross non-performing assets (NPAs) stood at Rs 5,710.78 crore as on 31 December 2022 as against Rs 5,567.12 crore as on 30 September 2022 and Rs 5,779.27 crore as on 31 December 2021.
The gross NPA were at 2.06% of gross advances as on 31 December 2022 as against 2.11% as on 30 September 2022 and 2.48% as on 31 December 2021.
The net NPA was at 0.62% of net advances as on 31 December 2022 as compared to 0.61% as on 30 September 2022 and 0.71% as on 31 December 2021.
The provision coverage ratio was consistent at 71% as at 31 December 2022. Provisions and contingencies for the quarter ended 31 December 2022 were Rs 1,065 crore as compared to Rs 1,654 crore recorded in the same period last year, reduced by 36% YoY. Total loan related provisions as on 31 December 2022 stood at Rs 7,435 crore (2.7% of loan book).
Deposits as on 31 December 2022 was at Rs 3,25,278 crore as against Rs 2,84,484 crore, an increase of 14% over 31 December 2021. CASA deposits comprised 42% of total deposits as at 31 December 2022.
Advances as of 31 December 2022 were Rs 2,72,754 crore as against Rs 2,28,583 crore, recording a growth of 19% over 31 December 2021.
The bank's total capital adequacy ratio as per basel III guidelines stands at 18.01% as on 31 December 2022, as compared to 18.06% as on 31 December 2021. Tier 1 CRAR was at 16.47% as on 31 December 2022 compared to 16.37% poseted in the same period a year ago.
Sumant Kathpalia, managing director & CEO, IndusInd Bank said, Indian economy continues to be a bright spot in the world even though the external macros are challenging. IndusInd Bank too continued its growth momentum across metrics. Bank's loan growth was at 19% YoY with all segments contributing to the growth. Retail deposits (as per LCR disclosure) grew by 21% YoY. GNPA was lower at 2.06% and NNPAs range bound at 0.62% with a healthy PCR of 71%. Bank's Core Operating Profit grew by 11% YoY bolstered by better NIMs and healthy client fees. Profit after Tax was at Rs 1,964 crores growing 9% QoQ and 58% YoY. The Bank remains on track to achieve its strategic ambitions and having financial metrics in the top quartile of the industry.
IndusInd Bank caters to both consumer and corporate customers. As of 31 December 2022, the bank's distribution network included 2,384 branches/ banking outlets and 2,894 onsite and offsite ATMs. The client base stood at 33 million as on 31 December 2022.
Shares of IndusInd Bank were down 0.67% to close at Rs 1,222 on the BSE.
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