Chennai:
Indian Bank’s standalone net profit for the quarter ended March rose 55% to ₹2,247 crore YoY due to an increase in interest income, reduction in provisions, and improvement in asset quality. Net interest income increased by 9% to ₹6,015 crore, while net interest margin contracted to 3.44% from 3.56%, the public sector lender said in a statement. Gross non-performing assets decreased by 200 bps to 3.95% and net NPA by 47 bps to 0.43%. Provision coverage ratio improved by 252 bps to 96.34%. Capital Adequacy Ratio stood at 16.44% against 16.49%.
Fresh slippages was ₹1,238 crore, while recovery including technical write-off was ₹2,679 crore. Total business grew by 12% to ₹12.22 lakh crore, of which deposits increased by 11% to ₹6.88 lakh crore, while current account savings account deposit grew by 8%, savings deposit by 7% and current deposit by 9%.
Gross advances improved to ₹5.34 lakh crore from ₹4.74 lakh crore. Retail, Agriculture and MSME (RAM) advances grew 14% to ₹3.10 lakh crore. RAM contribution to gross domestic advances was 62.21%. Retail, Agri & MSME advances grew by 15%, 19% and 6% respectively. Within the retail sector, home loan (including mortgage) grew by 11%, auto loan by 49% and personal loan by 10%. Corporate credit stood at 10% (₹1.88 lakh crore).
The board recommended a dividend of ₹12 per share.
“Our focus is to deliver value-added and suitable solutions through the acumen of empowered employees and smart use of technology to cater the needs of the customers,” MD & CEO S.L. Jain said, adding that the lender aimed to simplify banking, making it more accessible, convenient and secure for everyone.
Bank’s Global Business reached ₹12.22 lakh Cr, up by 12% YoY
Key Highlights (Quarter ended Mar’24 over Mar’23)
· Net Profit up by 55% YoY at ₹2247 Cr in Mar’24 from ₹1447 Cr in Mar’23
· Profit Before Taxes up by 111% YoY at ₹3057 Cr in Mar’24 from ₹1452 Cr in Mar’23
· Operating Profit improved by 7% YoY to ₹4305 Cr in Mar’24 from ₹4016 Cr in Mar’23
· Net Interest Income increased by 9% YoY to ₹6015 Cr in Mar’24 from ₹5508 Cr in Mar’23
· Fee based income grew by 6% YoY to ₹970 Cr in Mar’24 from ₹914 Cr in Mar’23
· Return on Assets (RoA) up by 33 bps to 1.15% in Mar’24 from 0.82% in Mar’23
· Return on Equity (RoE) increased by 358 bps to 19.06% in Mar’24 from 15.48% in Mar’23
· Yield on Advances (YoA) up by 64 bps to 8.81% in Mar’24 from 8.17% in Mar’23
· Yield on Investments (YoI) increased by 26 bps to 6.88% in Mar’24 from 6.62% in Mar’23
· Gross Advances increased by 13% YoY to ₹533773 Cr in Mar’24 from ₹473586 Cr in Mar’23
· RAM (Retail, Agriculture & MSME) advances grew by 14% YoY to ₹309918 Cr in Mar’24 from ₹272679 Cr in Mar’23
· RAM contribution to gross domestic advances is 62.21%. Retail, Agri & MSME advances grew by 15%, 19% and 6% YoY respectively. Home Loan (Including mortgage) grew by 11% YoY, Auto Loan by 49% YoY and Personal Loan by 10% YoY
· Priority sector advances as a percentage of ANBC stood at 43.82% at ₹178527 Cr in Mar’24 as against the regulatory requirement of 40%
· Total Deposits increased by 11% YoY and reached to ₹688000 Cr in Mar’24. CASA deposit grew by 8%, savings deposit grew by 7% and Current deposit by 9% YoY
· Domestic CASA ratio stood at 42.31% as on 31st Mar’24
· CD ratio stood at 77.58% as on 31st Mar’24
· GNPA decreased by 200 bps YoY to 3.95% in Mar’24 from 5.95%, NNPA reduced by 47 bps to 0.43% from 0.90% in Mar’23
· Provision Coverage Ratio (PCR, including TWO) improved by 252 bps YoY to 96.34% in Mar’24 from 93.82% in Mar’23
· Slippage Ratio contained to 1.11% in Mar’24 in comparison to 2.43% in Mar’23 i.e improvement of 132 bps YoY
· Capital Adequacy Ratio stood at 16.44%. CET-I improved by 63 bps YoY to 13.52%
Tier I Capital improved by 55 bps YoY to 14.03%
Key Highlights (Quarter ended Mar’24 over Dec’23)
· Net Profit up by 6% QoQ to ₹2247 Cr in Mar’24 from ₹2119 Cr in Dec’23
· Operating Profit improved by 5% YoY ₹4305 Cr in Mar’24 from ₹4097 Cr in Dec’23
· Net Interest Income improved to ₹6015 Cr in Mar’24 as against ₹5815 Cr in Dec’23
· Return on Assets (RoA) improved to 1.15% in Mar’24 from 1.11% in Dec’23
· Yield on Advances (YoA) improved to 8.81% from 8.78% in Dec’23 and Yield on Investments (YoI) improved to 6.88% in Mar’24 from 6.80% in Dec’23
· Domestic Net Interest Margin (NIM) improved to 3.52% in Mar’24 from 3.49% in Dec’23
The Board of Directors recommended a dividend @ 120% amounting ₹12 per equity share for FY24 subject to requisite approvals.
Key Highlights (Year ended Mar’24 over Mar’23)
· Net Profit up by 53% YoY to ₹8063 Cr in FY24 from ₹5282 Cr in FY23
· Profit Before Taxes up by 85% YoY at ₹10951 Cr in FY24 from ₹5915 Cr in FY23
· Operating Profit increased by 10% at ₹16840 Cr in FY24 from ₹15271 Cr in FY23
· Net Interest Income grew by 15% to ₹23274 Cr in FY24 from ₹20225 Cr in FY23
· Return on Assets (RoA) increased by 30 bps to 1.07% in FY24 from 0.77% in FY23
· Return on Equity (RoE) up by 451 bps to 19.24% in FY24 from 14.73% in FY23
· Domestic Net Interest Margin (NIM) increased by 13 bps to 3.54% in FY24 from 3.41% in FY23
· Yield on Advances (YoA) up by 96 bps to 8.72% in FY24 from 7.76% in FY23
· Yield on Investments (YoI) increased by 35 bps to 6.80% in FY24 from 6.45% in FY23
· Cost to Income Ratio is 45.92% for FY24
Network:
· The Bank has 5847 domestic branches (including 3 DBUs), out of which 1985 are Rural, 1530 are Semi-Urban, 1174 are Urban & 1158 are in Metro category. The Bank has 3 overseas branches & 1 IBU.
· The Bank has 4937 ATMs & BNAs and 11297 number of BCs.
Digital Banking:
· Business through Digital Channels has reached to ₹81,250 Cr. A total of 78 Digital Journeys, Utilities and Processes have been launched so far.
· The number of Mobile Banking users has grown by 45% year over year, reaching 1.67 Cr.
· Both UPI users and Net Banking Users have seen a 37% YoY increase, reaching 1.75 Crores and 1.06 Crores respectively.
· The count of UPI QR merchants on-boarded has risen by 43% YoY, while the total number of Point of Sale (PoS) terminals has increased by 58% YoY, reaching a total of 21,580.
