Home » Bandhan Bank Limited – Q2 Results

Last Updated on October 18, 2023 by BFSLTeam BFSLTeam

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On October 18, 2023: Bandhan Bank Limited (BSE, NSE: BandhanBnk) announced its Q2 FY 2023-24 financial results amid the positive news of business growth increasing 12.6% YoY and PAT growth at a whopping 245%.

Key Highlights

Catch a glimpse of the highlights of the company’s positive results below:

  • The total deposits of Bandhan Bank are at ₹1.12 lakh crore, portraying a YoY growth of 12.8%. This is marginally better than the average growth of the industry.
  • The bank’s loan portfolio is at ₹1.08 lakh crore, showing growth of 12.3% YoY. Retail loan books, except for housing finance books, grew the most by 80% YoY. Furthermore, the commercial banking book grew by 65% YoY and the housing finance book by 4% YoY. Although the EEB book remained flat on a YoY basis, it saw a growth of 5.2% on a QoQ basis. 
  • The PAT (Profit After Tax) for Q2 FY 2023-24 is at ₹721 crore, with a growth of 245% YoY over the Q2 FY 2022-23 when it was ₹209 crore. 
  • The GNPA remained stable at 7.3%. 
  • Net interest income rose from ₹2,193 crore in Q2 FY 2022-23 to ₹2,443 crore in Q2 FY 2023-24. 
  • The ROE (annualised) and the ROA are at 14% and 1.9% respectively.

Additional Read: Q2 Results Dashboard

Commentary by the Management

The CEO and MD of Bandhan Bank, Chandra Shekhar Ghosh, commented on the results and indicated the following:

  • Q2 FY 2023-24 has proven to be encouraging for the bank and its business.
  • In view of the ongoing success of the bank, Bandhan Bank has concluded a crucial IT transformation project in order to give a boost to client experiences and enhance the capabilities of the bank’s operations. 
  • Bandhan Bank has also successfully managed to diversify its asset book, both in terms of a blend of product offerings and in terms of geography. 
  • The bank is witnessing a significant growth trajectory and the future appears optimistic. 

Growing Business, Building a Customer Base

In Q2, the bank witnessed a substantial leap in its customer base, adding almost 10 lakh clients with the entire customer base amounting to 3.17 crore. Apart from this, another boon for the bank comes with developing a widespread banking network with above 6,200 outlets.

Banking On Quality Staff

During Q2, the amount of banking employees has risen to over 74,000, and the bank sees this as powering its capability to grow in the future.  

Additional Read: Bandhan Bank Share Price

Bandhan Bank Financial Working Results 

The table below shows Bandhan Bank’s financial results (in ₹ billion) with the QoQ and YoY particulars according to certain metrics:

MetricsQ2 FY 2023-24Q1 FY 2022-23Q2 FY 2022-23
Total Income29.8328.7626.69
Operating Profit15.8315.6315.53
PAT7.217.212.09

Key Ratios Highlights:

ParticularsQ2 FY’24Q1 FY’24Q2 FY’23
CASA to Total Deposit38.5%36%40.8%
Net Interest Margin (Annualised)7.2%7.3%7.0%
Cost to Income Ratio46.9%45.7%41.8%
Return on Average Assets (Annualised)1.9%1.9%0.6%
Return on Average Equity (Annualised)14%14%5%
Capital Adequacy Ratio (including Profits)20.6%20.5%20.5%
Gross NPA (%)7.3%6.8%7.2%
Net NPA (%)2.3%2.2%1.9%

A note on CRAR QoQ: This stands at 20.6%, and this is up from 20.5% in the last quarter. 

About Bandhan Bank

Bandhan Bank started its journey as “Bandhan” a non-profit institution with the aim of inclusion. In 2001, when the organisation was incorporated, its primary goal was the creation of a sustainable livelihood for people. A few years after its launch, it became a NBFC, but with inclusion at its core. In 2015, Bandhan Bank was born with 2,523 outlets. This was the first time that a microfinance entity saw its transformation into a full-fledged banking institution. Bandhan Bank has a foothold in most of the states of India and serves more than 3 crore clients. With an experienced management team and staff, the bank is poised to meet the demands of the banking sector and related stakeholders. 


Source: https://bandhanbank.com/quarterly-report

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