The net profit of IDBI Bank rose 64% year-on-year (y-o-y) in the March quarter due to a growth in its net interest income (NII).
The bank posted a bottom-line of Rs 1,133 crore in January-March, up 22% quarter-on-quarter (q-o-q).
Net interest income, the difference between interest earned and interest expended rose 35% y-o-y to Rs 3,280 crore in the quarter under review. It rose 12% on a sequential basis.
IDBI Bank’s board of directors recommended a dividend of Rs 10 each for 2022-23(April-March), subject to shareholder’s approval.
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The bank’s net interest income in the quarter under review was driven by a growth in its advances. Gross advances rose 19% y-o-y to Rs 1.6 trillion rupees as on March 31.
Retail advances comprised 54% and corporate advances comprised 31% of overall advances as on March 31.
Deposits rose 10% y-o-y to Rs 2.6 trillion as on March 31. Low cost current account-savings account (CASA) deposits rose 2% y-o-y to Rs 1.3 trillion as on March 31. CASA ratio stood at 53.02% as on March 31.
Net interest margin rose 104 basis points y-o-y to 5.01% in January-March.
Gross non-performing asset ratio fell 1378 basis points y-o-y to 6.38% as on March 31. Net non-performing asset ratio fell 44 basis points y-o-y to 0.92%.
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The bank witnessed non-performing asset additions Rs 862 crore. Accounts worth Rs 200 crore were upgraded.