Axis Bank Ltd.'s share price declined over 4% on Friday after the company's net profit saw a marginal decline in the fourth quarter of fiscal 2025.
The private lender reported a net profit of Rs 7,117.5 crore for the quarter ended March 31, 2025, a marginal decrease of 0.1% year-on-year. But, the bank's provisions and contingencies increased by 15% year-on-year to Rs 1,359 crore, reflecting higher expenses.
Net interest income grew by 6% year-on-year to Rs 13,811 crore, with net interest margins improving to 3.97%, up 4 basis points from the previous quarter. Despite higher provisions and expenses weighing on the standalone net profit, the overall financial performance was stable.
Axis Bank's net advances rose by 8% year-on-year to Rs 10.4 lakh crore. Retail loans grew by 7% to Rs 6.22 lakh crore, accounting for 60% of the bank's net advances. Home loans increased by 1% year-on-year, personal loans rose by 8%, and credit card advances grew by 4%.
The lender's gross non performing asset ratio fell to 1.28% from 1.46% a quarter ago. Net NPA ratio of the bank also was down to 0.33% from 0.35% in the December quarter.
Axis Bank Share Price
The scrip fell as much as 4.02% to Rs 1,158.60 apiece. It pared losses to trade 3.04% lower at Rs 1,170.40 apiece, as of 09:34 a.m. This compares to a 0.17% advance in the NSE Nifty 50.
It has risen 3.8% in the last 12 months. Total traded volume so far in the day stood at 4.5 times its 30-day average. The relative strength index was at 60.
Out of 50 analysts tracking the company, 42 maintain a 'buy' rating and eight recommend a 'hold', according to Bloomberg data. The average 12-month analysts' consensus price target implies an upside of 15.8%.
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