Axis Bank December Quarter Financial Results 2023-24: Net Profit Rises to Rs. 6,071 Crore, NII Up by 9%

2024-01-23 14:53:52
Today (January 23, 2024), Axis Bank, one of the leading private sector banks, has released its December quarter financial position results for the financial year 2023-24. According to the report, the net profit of the bank is Rs.6,071. Samayam Tamil

This is a 4 percent increase compared to the December quarter earnings of last fiscal year. But the company fell short of market analysts’ estimate of Rs 6,114 crore.

The bank reported its absolute net profit at Rs 6,071 crore for the October-December quarter of the financial year 2023-24. Axis Bank’s net profit rose 4 per cent to Rs 5,853 crore in the same period last year and 3.5 per cent to Rs 5,863.56 crore in the previous quarter.

The bank’s net interest income (NII) rose 9% to Rs 12,532 crore in the third quarter. It is almost Rs. 12,555 crore in line with the market valuation. Net interest income is the difference between the interest a bank earns on loans and the interest paid to depositors.

Meanwhile, the net interest margin (NIM) stood at 4.01 per cent for the quarter ended December 31, 2023. Net interest margin refers to the difference between the cash interest income earned on a bank’s interest-bearing assets and the interest paid by the bank.

The bank’s gross non-performing asset (NPA) stood at 1.58 per cent, a decline from 2.38 per cent recorded in the same quarter last year. In contrast, net NPA for the quarter stood at 0.36 percent on a year-on-year basis.

In the current quarter, pre-provision operating profit (PPOP) grew by 1.4% year-on-year to Rs. 9,141 crore reached. Comparatively, on quarter-on-quarter basis, PPOP rose by 6%. PPOB is the amount of income a financial institution, usually a bank, earns in a given period before deducting funds set aside to cover future bad loans.

Although the quarterly results were released after the stock market trading, before that Axis Bank share price fell 3.48% to Rs 1082. Let’s wait and see tomorrow whether the stock will go up or down.