IDBI Bank Q3 results.. reported a 60 percent jump in net profit for the quarter ended December 31, 2022, to Rs 927 crore.
IDBI Bank on January 23 reported its highest-ever quarterly profit after tax (PAT) in the October-December quarter aided by strong growth in loans and deposits.
Solid growth in profit
On a year-on-year (YoY) basis, the bank recorded a 60 percent rise in PAT to Rs 927 crore from Rs 578 crore in the corresponding quarter last year.
Net interest income (NII) increased by 23 percent YoY to Rs 2925 crore from Rs 2,383 crore last year.
The net interest margin (NIM) grew to 4.59 percent compared to 3.96 percent last year.
Strong Asset quality
The gross NPA ratio declined to 13.82 percent for the third quarter of the fiscal year 2022-23 from 21.68 percent last year. The net NPA ratio declined to 1.07 percent from 1.81 percent last year.
The lender’s provision coverage ratio (including Technical Write-Offs) improved to 98 percent as on December 31, 2022 from 97.10 percent in the previous year.
The bank’s total period-end deposits increased by 5 percent YoY to Rs 2.32 lakh crore.
Average current account and savings account (CASA) deposits to total deposit ratio stood at 54.44 percent reducing marginally from 54.69 percent YoY.
Net advances grew by 17 percent YoY to Rs 1.48 lakh crore against Rs 1.26 lakh crore last year
Editorial comment: With the support of this Q3 results, the stock is expected to show slow and steady uptrend.