Axis Bank Navigates Challenges with Strategic Loan Approaches

Axis Bank reported a 4% growth in its December quarter net profit to Rs 6,304 crore, impacted by asset quality pressures in the retail segment. Executives noted a strategic slow in loan growth due to borrower indebtedness. Gross slippages stood at Rs 5,432 crore, with significant impacts in the retail sector.

Axis Bank has posted a 4% growth in net profit for the December quarter, amounting to Rs 6,304 crore. However, the uptick comes amid asset quality challenges within its retail segment.

Bank executives pointed to rising borrower indebtedness as a reason for deliberately slowing loan growth to 9% during the October-December period.

Despite the challenges, Axis Bank's CEO Amitabh Chaudhry remains confident, focusing on stabilizing retail asset quality, deposit quality, and costs in the coming quarters.

(With inputs from agencies.)