The third-largest domestic private sector bank, Axis Bank today reported a fiscal first-quarter net profit fell 16% on year beating the analyst expectations as its bad loan additions slowed. Axis Bank said on Tuesday, the profit after tax for the April-June quarter was down 16% at Rs 13.06 billion versus a net profit of Rs 15.56 billion a year ago in the same period.
Net profit beats estimates:
However, the net profit of the private lender has beaten the Reuters consensus forecast for April-June quarter of Rs 12.82 billion.
Gross bad loan ratio as a percentage of total loans and advances came in at 5.03% as on end of the June, compared with 5.04% at March-end. While the gross (non-performing assets) NPA ratio was at 2.54% at end of June 2016. The net NPAs for the quarter ended in June 2017 was at 2.3% versus 2.11% in the same period in the previous year.
The total interest earned on the loans and advances for the April-June quarter was at Rs 110.52 billion versus Rs 111.14 billion a year ago in the same period. Axis Bank said its net interest margin for the first quarter stood at 3.63%.\
The provisions for the quarter ended in June was at Rs 23.42 billion versus Rs 21.17 billion a year ago in the same period. As on 30th June 2017, loans outstanding on bank’s watch list declined 16% over the previous quarter and stood at Rs 79.41 billion.
Shares of Axis Bank today rose as much as 2.37% to the day’s high of Rs 547.5 on NSE. However, the stock of the private bank has returned over 21% since this calendar year while it declined 1.65% on yearly basis.