IndusInd Bank Q3 Results Review - Balance Sheet Management The Key Monitorable: Prabhudas Lilladher

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Prabhudas Lilladher Report.IndusInd Bank Ltd. saw a mixed quarter; while net interest margin at 4.84% was 11 basis points ahead of our estimate, asset quality was a miss due to higher slippages and buffer provisions were further utilised. Deposit franchise continues to improve as registered transferable deposit share enhanced by 240 bps YoY to 44.8%. To fund existing run-rate of asset growth, deposit accretion should scale up to 16-17% YoY (~14% over FY22-24E), given bank would not like to surpass an loan-deposit ratio of 90%. With banking system witnessing liquidity squeeze, either loan growth for IndusInd Bank will have to taper down or bank would resort to wholesale funding, which may affect margins. Hence despite we factoring a 17% loan compound annual growth rate over FY24-26E and stable NIM, there are downside risks to our estimates. While IndusInd Bank has guided to increase provision buffer by Rs 3 billion in near term, it again utilised Rs 2.2 billion in the quarter; we would prefer a higher provision buffer. Maintaining multiple at 1.8 times, our target price increases to Rs 1,740 from Rs 1620 as we roll forward to March 2026. Retain 'Buy'..Click on the attachment to read the full report:.IndusInd Bank Q3 Results Review - Positives Priced In: Dolat Capital.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

IndusInd Bank Q3 Results Review - Balance Sheet Management The Key Monitorable: Prabhudas Lilladher

Core pre-provision operating profit in-line; net interest margin beat offset by lower fees and higher opex

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IndusInd Bank Q3 Results Review - Balance Sheet Management The Key Monitorable: Prabhudas Lilladher

Core pre-provision operating profit in-line; net interest margin beat offset by lower fees and higher opex

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