Private sector lender IDBI Bank Ltd on Saturday (January 20) reported a 57.3% year-on-year (YoY) jump in net profit at ₹1,458.2 crore for the third quarter that ended December 31, 2023.
In the corresponding quarter last year,
IDBI Bank posted a net profit of ₹927.3 crore, the bank said in a regulatory filing.
Net interest income (NII), which is the difference between the interest income a bank earns from its lending activities and the interest it pays to depositors, rose 17.4%, coming at ₹3,434.5 crore against ₹2,925.3 crore in the corresponding quarter of FY23.
The gross non-performing asset (GNPA) stood at 4.69% in the December quarter against 4.90% in the September quarter. Net NPA came at 0.34% against 39% quarter-on-quarter.
In monetary terms, gross NPA stood at ₹8,589.4 crore against ₹8,645.2 crore quarter-on-quarter, whereas net NPA came at ₹593.4 crore against ₹651 crore quarter-on-quarter.
IDBI Bank's net advances experienced a significant year-on-year increase of 18%, reaching ₹1,75,001 crore as of December 31, 2023, compared to ₹1,48,384 crore in the same period in 2022.
The composition of the gross advances portfolio reflected a shift, with the corporate-to-retail ratio at 29:71, a change from 33:67 recorded on December 31, 2022. Total deposits also demonstrated growth, rising by 11% year-on-year to ₹2,58,525 crore as of December 31, 2023, from ₹2,32,671 crore on December 31, 2022.
The cost of deposit increased to 4.34% for Q3 of 2024, compared to 3.51% in Q3 of 2023, while the cost of funds stood at 4.60% in Q3 of 2024, up from 3.82% in Q3 of 2023. The cost-to-income ratio was reported at 47.22% for Q3 of 2024.
IDBI Bank's operating profit demonstrated a notable improvement, registering a 13% increase for Q3 of 2024, totaling ₹2,327 crore compared to ₹2,051 crore in the same quarter of the previous year.
Furthermore, the provision coverage ratio, including Technical Write-Offs, strengthened to 99.17% as of December 31, 2023, reflecting an improvement from 97.98% recorded on December 31, 2022.
The results came after the close of the market hours. Shares of
IDBI Bank Ltd ended at ₹79.04, up by ₹9.73, or 14.04% on the BSE.
