Private sector lender IndusInd Bank reported a 32% rise in net profit to ₹1,300 crore in the third quarter of the current financial year on the back of higher interest and non-interest income. On a consolidated basis, net profit rose 33% to ₹1,309 crore.
Net interest income, the difference between interest earned and interest expended, grew 34% to ₹3,074 crore on the back of a 20% growth in loans. The lender reported a slower growth in the consumer book mainly on account of slowdown in the automobile sector. Non-interest income grew 22% to ₹1,790 crore. “During Q3 FY20, the bank witnessed a healthy growth in its top-line as well as operating profit. The bank also reached a milestone as the balance sheet footage crossed ₹3 lakh crore and the advances crossed the ₹2 lakh-crore mark,” said Romesh Sobti, MD and CEO, IndusInd Bank.
Gross non-performing assets (GNPAs) rose to 2.18% of gross advances at the end of December from 1.13% a year ago. Provisions for bad loans jumped 72% to ₹1,043 crore during the quarter.
While slippages during the quarter increased to ₹1,945 crore from ₹1,102 crore in the previous quarter, recoveries remained healthy at ₹1,737 crore.
