Private sector lender Axis Bank reported a 18.3 percent growth in net profit at Rs 1,667 crore for the quarter ended June 2014 compared to Rs 1,703 crore in same quarter last year, which was lower than analysts' expectations of 21 percent growth due to lower other income and higher operating expenses despite significant fall in provisions. Net interest income, the difference between interest earned and interest expended, grew 15.5 percent on yearly basis to Rs 3,310.5 crore during the quarter, beating street expectations of Rs 3,276 crore. Other income (non-interest income) declined 5 percent to Rs 1,691 crore from Rs 1,781.3 crore while operating expenses jumped 16.8 percent year-on-year to Rs 2,105.9 crore in the quarter gone by. Provisions fell 45.7 percent on yearly basis (down 23.5 percent quarter-on-quarter) to Rs 386.6 crore during April-June quarter.
Asset quality disappointed street with the non-performing assets (NPA) rising 12 bps sequentially (up 24 bps Y-o-Y) to 1.34 percent and net NPA increasing marginally to 0.44 percent in June quarter from 0.40 percent in March quarter 2014 and 0.35 percent in same quarter last year. In absolute term, gross NPA jumped 39 percent year-on-year (up 10 percent Q-o-Q) to Rs 3,463.3 crore and net NPA rose 41 percent Y-o-Y (up 8.7 percent Q-o-Q) to Rs 1,113.5 crore in the quarter ended June 2014.
During the quarter, advances of the private sector lender grew 16.3 percent to Rs 2.3 lakh crore and deposits rose 14 percent to Rs 2.72 lakh crore compared to corresponding quarter of last fiscal. Capital adequacy ratio (as per Basel-III norms) declined to 15.53 percent in June quarter compared to 16.07 percent in previous quarter and 15.87 percent in the year-ago period.
0 comments:
Post a Comment