Axis Bank Q4 profit up by 18 per cent

SRINAGAR: The Axis Bank showed healthy earnings in terms of growth in revenues in the last quarter of the previous fiscal.
In a press statement issued here, the Bank said it posted a healthy growth of 18 per cent in its total net profit of Rs 7,358 crore.
It said its Retail Franchise continues to show robust growth as Savings Bank Deposits grew by 15 per cent and Retail Term Deposits by 27 per cent.
The Bank’s Operating Profit for the financial year grew by 17 per cent to Rs 22,589 crore, with the key contributor to the fee income of the Bank being Retail Banking, which grew by 30 per cent.
During FY15, the Bank said, it added 187 branches to its network across the country and, at the end of March 31, had a network of 2,589 domestic branches and extension counters, and 12,355 ATMs situated in 1,714 centres.
The Net Interest Income and, other income and operating profit boosted profits during the quarter while asset quality was stable. Net interest income grew by 20 percent to Rs 3,799 crore for the quarter ended March 2015 compared to Rs 3,165.8 crore in the year-ago period.
Net interest income is the difference between interest earned and interest expended. Analysts had estimated profit of Rs 2,166 crore and NII at Rs 3,737 crore for the quarter.
Other income (non-interest income) climbed 21.4 percent year-on year to Rs 2,687 crore and operating profit jumped 23.6 percent to Rs 4,012.9 crore in the quarter gone by.
Provisions for bad loans during January-March quarter shot up more than 40 percent year-on-year as well as quarter-on-quarter to Rs 710 crore with capital adequacy ratio at 15.09 percent (against 14.06 percent in Q3FY15 and 16.07 percent in Q4FY14).
On the asset quality front, gross non-performing assets (NPA) and net NPA remained unchanged at 1.34 percent and 0.44 percent in March quarter on sequential basis. However, gross NPA and net NPA reported an increase of 12 basis points and 4 bps, respectively.
In absolute term, gross NPA increased 30.6 percent year-on-year (up 5.3 percent quarter-on-quarter) to Rs 4,110 crore and net NPA climbed 28.5 percent Y-o-Y (up 5.3 percent Q-o-Q) to Rs 1,317 crore in the quarter gone by. Slippages were Rs 610 crore during the quarter as against Rs 708 crore in preceding quarter and fresh restructuring was Rs 1,540 crore for the quarter.
—With inputs from Agencies