IDBI Bank's Q4 Net Profit Surges By 64%

IDBI Bank has reported a substantial increase in its standalone net profit for the March quarter, according to a report on April 29.

The bank's net profit for the quarter surged by 64.1 percent to Rs 1,133 crore, up from Rs 691 crore in the same period last year. The report also states that the lender's net interest income for the quarter increased by 35.3 percent to Rs 3,279.6 crore, compared to Rs 2,420.5 crore in the corresponding period of the previous fiscal year.

Additionally, the bank's capital adequacy ratio (CAR) improved to 20.44 percent, an increase from 19.06 percent year-on-year and 20.14 percent sequentially. The CAR is a key indicator of a bank's ability to meet its financial obligations.

IDBI Bank's provisions for the quarter surged by 26% sequentially and 47% YoY to reach Rs 983.63 crore. The bank's asset quality demonstrated a significant improvement with gross non-performing assets (NPAs) falling to 6.38% from 13.82% in the previous quarter of December.

The net NPA also fell to 0.92% from 1.08% in the previous quarter. Additionally, the board of directors recommended a dividend of Re. 1 per equity share of face value of Rs 10 each of FY23 along with the announcement of Q4 results. On April 28, IDBI Bank's shares remained steady and closed at Rs 54.55 on the NSE.