IndusInd Bank's Quarterly Profit Takes a 40% Hit Amid Rising NPAs

IndusInd Bank reported a 40% decrease in net profit to Rs 1,331 crore for the quarter ending September 30, 2024, compared to Rs 2,202 crore the previous year. Total income rose slightly, but asset quality worsened, with increased gross NPAs, resulting in higher provisions and a decreased Capital Adequacy Ratio.

IndusInd Bank on Thursday revealed a significant 40% drop in net profit, recording Rs 1,331 crore for the quarter ending September 30, 2024, compared to Rs 2,202 crore in the same quarter last year.

Despite a rise in total income to Rs 14,871 crore, up from Rs 13,530 crore, the bank saw a deterioration in asset quality. Gross non-performing assets climbed to 2.11%, up from 1.93% a year prior, impacting the financial stability of the institution.

This decline in asset quality led to a substantial increase in provisions, surging to Rs 1,820 crore from Rs 974 crore year-on-year. Consequently, the Capital Adequacy Ratio fell to 16.51%, down from 18.21% at the end of September 2023.

(With inputs from agencies.)