Private sector lender Axis Bank on Wednesday reported an 18.36% year-on-year rise in profit after tax (PAT) at R2,180.59 crore for the quarter-ended March. For the financial year ended March, the bank registered an 18% growth in PAT at R7,358 crore, according to a press release.
The gross non-performing assets (GNPA) as a percentage of gross advances rose by 12 basis points y-o-y to 1.34%, while net NPAs as a percentage of net advances saw a marginal rise of 4 bps to 0.44%. On a sequential basis, both the GNPA and the NNPA remained flat.
“During the quarter, the bank added R610 crore to gross NPAs. Recoveries and upgrades were R188 crore and write-offs were R214 crore,” the release said, adding the cumulative value of net restructured advances as of March 31 stood at R8,166 crore, constituting 2.71% of the net customer assets.
Net interest income (NII) — the difference between interest earned and interest expended — saw a 20% growth y-o-y to R3,799.24 crore. The net interest margin stood at 3.81% in the fourth quarter.
Non-interest income also rose 21.41% y-o-y to R2,687.31 crore while the total income rose 21.67% to R12,384.39 crore.
The bank saw a 23.56% growth in the fourth quarter operating profit at R4,012.88 crore. The capital adequacy ratio reduced to 15.09% in Q4 compared with 16.07% in the corresponding quarter last year. Advances grew to R2.81 lakh crore compared with R2.3 lakh crore in the fourth quarter of 2014.
The board of directors has approved a proposal to seek enabling approval of shareholders to raise the cap on foreign investment from 62% to 74% of its paid up equity capital, the release said.
The board also approved sponsored level 1 depositary receipt (DR) issuance programme of upto 142 million DRs, with conversion of five equity shares to one DR, pursuant to the depository receipts scheme, 2014.
It also recommended a dividend of R4.60 per equity share of face value of R2 per equity share for the year ended March. Axis Bank added 187 branches across the country during FY15.