Thursday, 22 March 2018
Latest news
Main » IndusInd Bank Q3 net profit rises 25% to Rs936.25 crore

IndusInd Bank Q3 net profit rises 25% to Rs936.25 crore

12 January 2018

The bank's net profit rose 24.73% to Rs 936.25 crore on 16.06% increase in total income to Rs 5473.54 crore in Q3 December 2017 over Q3 December 2016.

Further, the lender reported that its net interest margin was "stable at 3.99 per cent" for the third quarter as against 4 per cent in the corresponding quarter of the previous year.

The better earnings came on the back of a robust 20 per cent rise in net interest income (NII is interest earned minus interest expended) at Rs 1,894.81 crore against Rs 1578.42 crore in the year-ago period.

More news: Kenya Airways announces its inaugural direct flight to US

Shares of IndusInd Bank were trading 0.68 per cent lower at Rs 1,723 on BSE.

In it's financial audit, IndusInd stated that they have transferred an amount of Rs 70 crore towards floating provisions for advances during the quarter ended June 30, 2017.

"In spite of the growth in balance sheet of 25%, we have seen increase in return on assets, which went up from 1.9% last quarter to 1.96% this quarter".

More news: Detergent pod challenge becoming unsafe teen trend

Sobti also pointed out that the vehicle finance segment is beginning to boom. We saw a 34% increase in our disbursements on overall vehicle finance.

Gross non-performing assets (NPAs) advanced 54.25% to Rs1,498.70 crore at the end of the December quarter from Rs971.62 crore in the same quarter past year. "If you look at only commercial vehicle, disbursements grew by 39%", Mr. Sobti said. "The growth is pretty secular - two-wheelers, three-wheelers and tractor segments are also witnessing growth", he said.

Provisions and contingencies rose 8.9% to Rs236.16 crore in the quarter from Rs216.85 crore a year ago.

More news: Highest trolley count at Limerick hospital on week of new overcrowding record

IndusInd Bank Q3 net profit rises 25% to Rs936.25 crore