Last Updated on October 28, 2023 by BFSLTeam BFSLTeam
IndusInd Bank Limited initiated its operations in 1994, dedicated to serving the banking needs of both consumers and corporate clients. Since its establishment, the bank has transformed the banking experience for a wide range of customers, including government entities, public sector units (PSUs), retail customers, and large corporations.
Table of Content
Key Highlights
1. Net Interest Income (NII) increased by 18% YoY to ₹5,077 crores from ₹4,302 crores.
2. Net Interest Margin (NIM) was 4.29%, compared to 4.24% for Q2 FY23 and 4.29% for Q1 FY24.
3. Net Profit grew by 22% YoY to ₹2,202 crores from ₹1,805 crores.
4. Deposits increased by 14% YoY to ₹3,59,548 crores from ₹3,15,532 crores; CASA grew by 6% YoY.
5. Gross NPA and Net NPA ratios were at 1.93% and 0.57% respectively, down from 2.11% and 0.61% YoY, with a PCR of 71% as of September 30, 2023.
6. Capital to Risk (Weighted) Assets Ratio (CRAR) as of September 30, 2023, stood at 18.21%, compared to 18.01% on September 30, 2022.
Additional Read: Q2 Results Dashboard
Profit & Loss Account for the Quarter ended September 30, 2023:
- Net Interest Income in the quarter ending September 30, 2023, reached ₹5,077 crores, marking an 18% YoY growth and a 4% QoQ increase.
- The Net Interest Margin for Q2 of FY 2024 was 4.29%, compared to 4.24% in Q2 of FY 2023 and the same 4.29% in Q1 of FY 2024.
- The Yield on Assets for the quarter ending September 30, 2023, was 9.69%, up from 8.65% in the corresponding quarter of the previous year.
- The Cost of Funds was 5.40%, a rise from 4.41% in the corresponding quarter of the previous year.
- Other income for the quarter ending September 30, 2023, amounted to ₹2,282 crores, showing a 13% YoY growth compared to ₹2,011 crores in the corresponding quarter of the previous year. Core Fees also grew by 13% YoY to ₹2,120 crores, up from ₹1,872 crores for the corresponding quarter of the previous year.
- Operating expenses for the quarter ending September 30, 2023, were ₹3,450 crores, a 25% increase compared to ₹2,769 crores in the corresponding quarter of the previous year.
- Pre Provision Operating Profit (PPOP) was ₹3,909 crores for the quarter ending September 30, 2023, representing a 10% growth over the corresponding quarter of the previous year, which had a PPOP of ₹3,544 crores. The PPOP/Average Advance ratio for the same quarter stood at 5.2%.
- Net Profit for the quarter ending September 30, 2023, reached ₹2,202 crores, showing a 22% YoY increase compared to ₹1,805 crores during the corresponding quarter of the previous year.
Additional Read: IndusInd Bank Share Price
Balance Sheet as of September 30, 2023
- The total balance sheet size as of September 30, 2023, amounted to ₹4,77,922 crores, reflecting a 12% growth compared to ₹4,26,575 crores as of September 30, 2022.
- Deposits on September 30, 2023, reached ₹3,59,548 crores, showing a 14% increase from the ₹3,15,532 crores recorded on September 30, 2022.
- Within these deposits, CASA deposits amounted to ₹1,41,437 crores, with Current Account deposits at ₹49,910 crores and Savings Account deposits at ₹91,527 crores. CASA deposits constituted 39% of the total deposits as of September 30, 2023.
- Advances as of September 30, 2023, reached ₹3,15,454 crores, marking a 21% increase compared to ₹2,60,129 crores as of September 30, 2022.
Asset Quality
The quality of IndusInd Bank’s loan book remains robust and stable. As of September 30, 2023, Gross Non-Performing Assets (NPA) accounted for 1.93% of gross advances, a marginal improvement from 1.94% as of June 30, 2023. Similarly, Net Non-Performing Assets were at 0.57% of net advances as of September 30, 2023, down slightly from 0.58% on June 30, 2023.
The Bank’s Provision Coverage Ratio stood consistently at 71% as of September 30, 2023. For the quarter ending September 30, 2023, provisions and contingencies amounted to ₹974 crores, which is a 15% reduction compared to ₹1,141 crores for the corresponding quarter in the previous year. In total, loan-related provisions as of September 30, 2023, reached ₹7,267 crores, equivalent to 2.3% of the loan book.
About IndusInd Bank
As of September 30, 2023, IndusInd Bank has a customer base of approximately 37 million individuals. It operates through 2,631 branches and banking outlets, along with a network of 2,903 ATMs spread across various geographical regions throughout the country, reaching as many as 1,43,000 villages. The bank also maintains representative offices in key international financial hubs such as London, Dubai, and Abu Dhabi.
The bank holds the status of being a clearing bank for both major stock exchanges, BSE and NSE and holds the position of a settlement bank for NCDEX. It is also an empanelled banker for MCX.
