Jobaaj Stories
Shares of IDFC Bank had another great session today as the stock was up around 6% this afternoon after the bank published its highest-ever quarterly profit of Rs 816 crores.
For the quarter ended in March 2023, total income was Rs 7,822 crores, up 45% YoY as the Net Interest Income grew 35% to Rs 3,597 crores. Provisions made during the quarter grew to Rs 482 crores, up 30% as the net profit for the quarter grew 130% to Rs 816 crores.
For the period of 12 months ended in March 2023, the Total income of the bank stood at Rs 27,195 crores as the Net Interest Income of the bank grew 30% to Rs 12,635 crores while Net Interest Margin was 6.05%. Fees and other income of the bank surged 54% YoY to Rs 4,142 crores.
Retail banking continued to be the bank’s fastest-growing segment, contributing the most to the bank’s Total Income. Revenues of the Retail Banking segment surged 45% to Rs 26,519 crores & the Treasury segment had the second highest contribution to revenues at Rs 12,984 crores.
Provisioning saw a steep decline of 46% as the provisions created during the year stood at Rs 1,665 crores, significantly lower than the Rs 3,109 crores prepared last year. The lower provisioning helped the bank report higher profits as the profit for FY23 almost tripled to Rs 2,485 crores against Rs 132 crores reported in the corresponding period last year.
Asset quality saw a slight improvement as the GNPA and NNPA stood at 2.51% and 0.81% respectively at the end of the year. Total deposits held by the bank were Rs 1.44 lakh crores, up 37%, of which ~50% was CASA. The Capital Adequacy Ratio stood strong at 16.82%.
Due to an operating profit of 67%, brokerages are positive about the stock as it had also surged over 3% in yesterday’s session. FPIs have improved their stake in the bank by around 6% in FY23. Shares of the bank saw a gap-up opening today as it was up around 6% at noon after which sellers took over and the stock closed at Rs 90.65 per share today, up 3.3%.
— Aman Agarwal
