Indian Bank, Q3 FY24 Financial Results

 

Shri. S L Jain, MD & CEO gave a detailed informative presentation of Q3 FY24 results of Indian Bank on 24th January at Indian Bank, Corporate Office, 254-260, Avvai Shanmugam Salai, Chennai. 

Following below is the financial results. Key 

                      Key Highlights (Quarter ended Dec 23 over Dec 22)

Bank’s Global Business reached ₹11.64 lakh Cr, up by 11% YoY

           ·            Net Profit up by 52% YoY at ₹2119 Cr in Dec’23 from ₹1396 Cr in Dec’22

           ·            Profit Before Tax up by 78% YoY at ₹2747 Cr in Dec’23 from ₹1546 Cr in Dec’22

           ·            Operating Profit improved to ₹4097 Cr in Dec’23 from ₹4061 Cr in Dec’22

           ·            Net Interest Income increased by 6% YoY to ₹5815 Cr in Dec’23 from ₹5499 Cr in Dec’22

           ·            Fee based income grew by 21% YoY to ₹852 Cr in Dec’23

           ·            Return on Assets (RoA) up by 31 bps to 1.11% in Dec’23 from 0.80% in Dec’22

           ·            Return on Equity (RoE) increased by 471 bps to 19.92% in Dec’23 from 15.21% in Dec’22

           ·            Yield on Advances (YoA) up by 59 bps to 8.78% in Dec’23 from 8.19% in Dec’22

           ·            Yield on Investments (YoI) increased by 28 bps to 6.80% in Dec’23 from 6.52% in Dec’22

           ·            Gross Advances increased by 13% YoY to ₹509800 Cr in Dec’23 from ₹451658 Cr in Dec’22

           ·            RAM (Retail, Agriculture & MSME) advances grew by 13% YoY to ₹296845 Cr in Dec’23 from ₹262811 Cr in Dec’22

           ·            RAM contribution to gross domestic advances is 62.58%. Retail, Agri & MSME advances grew by 14%, 16% and 7% YoY respectively. Home Loan (Including mortgage) grew by 12% YoY, Auto Loan by 46% YoY and Personal Loan by 30% YoY

           ·            Priority Sector portfolio stood at ₹171480 Cr in Dec’23. Priority sector advances as a percentage of ANBC stood at 43.71% as against the regulatory requirement of 40%.

           ·            Total Deposits increased by 10% YoY and reached to ₹654154 Cr in Dec’23. CASA deposit grew by 8%, savings deposit grew by 7% and Current deposit by 12% YoY

           ·            Domestic CASA ratio stood at 41.14%

           ·            GNPA decreased by 206 bps YoY to 4.47% in Dec’23 from 6.53%, NNPA reduced by 47 bps to 0.53% from 1.0% in Dec’22

           ·            Provision Coverage Ratio (PCR, including TWO) improved by 231 bps YoY to 95.90%

           ·            Capital Adequacy Ratio stood at 15.58%. CET-I improved by 39 bps YoY to 12.36%

           Tier I Capital improved by 30 bps YoY to 12.88%

                            Key Highlights (Quarter ended Dec 23 over Sep 23)

           ·            Net Profit up by 7% QoQ to ₹2119 Cr in Dec’23 from ₹1988 Cr in Sep’23

           ·            Net Interest Income stood at ₹5815 Cr in Dec’23 as against ₹5741 Cr in Sep’23

           ·            Return on Assets (RoA) improved to 1.11% in Dec’23 from 1.06% in Sep’23

           ·            Return on Equity (RoE) improved to 19.92% in Dec’23 from 19.90% in Sep’23

           ·            Yield on Advances (YoA) improved to 8.78% from 8.75% in Sep’23 and Yield on Investments (YoI) improved to 6.80% in Dec’23 from 6.77% in Sep’23

           ·            Domestic Net Interest Margin (NIM) stood at 3.49% in Dec’23

           ·            Cost-to-Income Ratio stood at 46.90% in Dec’23

           ·            Slippage Ratio contained to 1.28% in Dec’23 in comparison to 1.77% in Sep’23 i.e improvement of 49 bps

                     Key Highlights( 9M ended Dec 23 over Dec 22)

           ·            Net Profit up by 52% YoY to ₹5816 Cr in 9MFY24 from ₹3834 Cr in 9MFY23

           ·            Profit Before Tax up by 77% YoY at ₹7894 Cr in 9MFY24 from ₹4461 Cr in 9MFY23

           ·            Operating Profit increased by 11% at ₹12535 Cr in 9MFY24 from ₹11255 Cr in 9MFY23

           ·            Net Interest Income grew by 17% to ₹17258 Cr in 9MFY24 from ₹14717 Cr in 9MFY23

           ·            Return on Assets (RoA) increased by 29 bps to 1.04% in 9MFY24 from 0.75% in 9MFY23

           ·            Return on Equity (RoE) up by 483 bps to 19.25% in 9MFY24 from 14.42% in 9MFY23

           ·            Domestic Net Interest Margin (NIM) increased by 19 bps to 3.54% in 9MFY24 from 3.35% in 9MFY23

           ·            Yield on Advances (YoA) up by 109 bps to 8.69% in 9MFY24 from 7.60% in 9MFY23

           ·            Yield on Investments (YoI) increased by 38 bps to 6.77% in 9MFY24 from 6.39% in 9MFY23

 

Network:

           ·            The Bank has 5835 domestic branches (including 3 DBUs), out of which 1981 are Rural, 1527 are Semi-Urban, 1173 are Urban & 1154 are in Metro category. The Bank has 3 overseas branches & 1 IBU.

           ·            The Bank has 4899 ATMs & BNAs and 10942 number of BCs.

 

Digital Banking:

           ·            Business through Digital Channels crossed ₹52,000 Cr. So far 78 Digital Journeys have been launched. More Journeys will be launched in the months to come.

           ·            Mobile Banking users increased by 47% YoY and reached to 1.59 Cr.

           ·            UPI users and Net Banking Users both, increased by 38% YoY each, and reached to 1.64 Cr and 1.03 Cr respectively.

           ·            Number of UPI QR merchants on-boarded surged by 311% YoY and reached to 36 lakh, and number of PoS increased by 47% YoY to 21725.

           ·            ‘Online Tax Portal for Village Panchayats’- launched for collection of taxes in all Village Panchayats in Tamil Nadu.

 

Awards & Accolades:

           ·            Bank was adjudged the Most Preferred Workplace in BSFI sector for 2023-24 by Marksmen Daily.

           ·            Bank was awarded Fastest Growing Public Sector Bank by Dalal Street Investment Journal (DSIJ) in 2023 Banking award.

           ·            Bank was conferred BFSI Award for Use of Emerging Technology in Banking Industry for Project “PARADISE” for Adoption of Cloud Computing for AiX Environment by GOVERNANCE NOW.

           ·            Chief Technology Officer of the Bank was awarded BFSI Award for the Best Digital Transformation Leader, CTO for the year 2023.