Money & Banking

Axis Bank net zooms 95% to ₹1,370 cr in Q1

Our Bureau Mumbai | Updated on July 30, 2019 Published on July 30, 2019

Private sector lender Axis Bank's net profit nearly doubled in the first quarter of the fiscal, led by strong growth in income, although it became more conservative on provisioning.

The bank’s net profit jumped 95 per cent to ₹1,370.08 crore in the quarter ended June 30, 2019, compared to ₹701.09 crore in the same period a year ago.

Total income rose sharply by 21.8 per cent to ₹19,123.71 crore for the April to June 2019 quarter, compared to ₹15,702.01 crore a year ago.

Net interest income grew 13 per cent to ₹5,844 crore for the first quarter of the fiscal, against ₹5,167 crore in the same period last fiscal.

Net interest margin stood at 3.4 per cent for the quarter under review. Other income rose by 32 per cent to ₹3,869 crore in the first quarter of the fiscal, compared to ₹2,925 crore a year ago. The bank’s provisions, however, jumped to ₹3,814.58 crore for the first quarter of the fiscal, from ₹3,337.70 crore a year ago.

Amitabh Chaudhry, Managing Director and CEO, Axis Bank, said that during the quarter the bank made a change in internal guidelines to continue increasing conservatism in its provisioning.

As on June 30, 2019, gross non-performing assets of the bank stood at ₹29,405 crore, or 5.25 per cent of gross assets, against 6.52 per cent a year ago. Net NPAs were at ₹11,037 crore or 2.04 per cent of net assets, compared to 3.09 per cent a year ago.

Loan book

The bank said it continues to grow its loan book “cautiously and steadily”. Its advances grew 13 per cent annually to ₹4,97,276 crore as on June 30, 2019. The Axis Bank scrip fell 1.82 per cent and closed at ₹706.55 apiece on the BSE on Tuesday.

 

Published on July 30, 2019

A letter from the Editor


Dear Readers,

The coronavirus crisis has changed the world completely in the last few months. All of us have been locked into our homes, economic activity has come to a near standstill. Everyone has been impacted.

Including your favourite business and financial newspaper. Our printing and distribution chains have been severely disrupted across the country, leaving readers without access to newspapers. Newspaper delivery agents have also been unable to service their customers because of multiple restrictions.

In these difficult times, we, at BusinessLine have been working continuously every day so that you are informed about all the developments – whether on the pandemic, on policy responses, or the impact on the world of business and finance. Our team has been working round the clock to keep track of developments so that you – the reader – gets accurate information and actionable insights so that you can protect your jobs, businesses, finances and investments.

We are trying our best to ensure the newspaper reaches your hands every day. We have also ensured that even if your paper is not delivered, you can access BusinessLine in the e-paper format – just as it appears in print. Our website and apps too, are updated every minute, so that you can access the information you want anywhere, anytime.

But all this comes at a heavy cost. As you are aware, the lockdowns have wiped out almost all our entire revenue stream. Sustaining our quality journalism has become extremely challenging. That we have managed so far is thanks to your support. I thank all our subscribers – print and digital – for your support.

I appeal to all or readers to help us navigate these challenging times and help sustain one of the truly independent and credible voices in the world of Indian journalism. Doing so is easy. You can help us enormously simply by subscribing to our digital or e-paper editions. We offer several affordable subscription plans for our website, which includes Portfolio, our investment advisory section that offers rich investment advice from our highly qualified, in-house Research Bureau, the only such team in the Indian newspaper industry.

A little help from you can make a huge difference to the cause of quality journalism!

Sincerely,

Support Quality Journalism
This article is closed for comments.
Please Email the Editor
You have read 1 out of 3 free articles for this week. For full access, please subscribe and get unlimited access to all sections.