IndusInd Bank Q1 Results: Profit Rises 30% On Higher Core Income, Lower Provisions

IndusInd Bank Ltd.'s consolidated net profit rose in the quarter ended June due to higher core income and lower provisions. 

The private sector lender's first quarter profit stood at Rs 2,124.5 crore, up 30% in comparison with the year ago period, according to an exchange filing on Tuesday. Analysts polled by Bloomberg had estimated a Rs 2,094.6 crore net profit for the April–June quarter.

Net interest income or core income rose 18% to Rs 4,867 crore, while other income increased 14.4% to Rs 2,210 crore. Net interest margin for the lender stood at 4.29%, as of June 30.

The gross non-performing asset ratio fell by 4 basis points sequentially to 1.94%. Net NPA as of June 30 remained flat at 0.58% as compared with 0.59% as of March 31. Provisions for the quarter fell 21% year-on-year to Rs 991.6 crore.

Provision coverage ratio for the lender remained flat at 71%, it said in a statement.

Total advances for IndusInd Bank rose 22% year-on-year to Rs 3.01 lakh crore. Total deposits rose 15% from a year ago to Rs 3.47 lakh crore. Current account savings account deposits were up at Rs 1.38 lakh crore, comprising 40% of total deposits.

Shares of IndusInd Bank closed 0.20% lower on Tuesday at Rs 1,387.75 apiece, as compared with a flat Bank Nifty that ended 0.09% down at 45,410.85 points.