In line with the estimates private sector banker IndusInd Bank reported profits higher by 25% at Rs. 936.2 crore for the quarter ending December 2017. In the year ago quarter, the lender reported profit of Rs. 750.64 crore. Profitability for the bank was driven primarily by operating income, net interest income (NII) and other income.
NII for the bank grew by 20% on a year-on-year basis at Rs. 1,895 crore which was reported at Rs 1,578.4 crore in the year-ago quarter.
The credit offtake by the bank also registered an increase of 25% while deposits increased by 23% YoY with increase in savings deposits at 68%.
Net interest margin for the bank however declined to 3.99% as against 4% reported for the previous as well as corresponding quarter.
Provisions for bad loans increased from Rs 216.9 crore to Rs 236.2 crore YoY.
Asset quality of the bank weakened as gross NPAs and net NPAs were reported higher at 1.16% and 0.46% as against 1.08% and 0.44% in the previous quarter.
At 2:58 pm, the stock price was quoting at Rs 1,701.45, down Rs 33, or 1.9 percent on the BSE.