Indian Bank has announced its Q4 FY2023 results. Net profit up by 47% YoY for Q4FY23
Bank’s Global Business reached ₹10.95 lakh Cr
Operating Profit up by 47% YoY for Q4FY23 & 20% YoY for FY23
Net profit up by 47% YoY for Q4FY23 & 34% YoY for FY23
Key Highlights (Quarter ended Mar’23 over Mar’22):
Net Profit up by 47% YoY at ₹1447 Cr in Mar’23 from ₹984 Cr in Mar’22
Operating Profit up by 47% YoY at ₹4016 Cr in Mar’23 from ₹2738 Cr in Mar’22
Net Interest Income increased by 29% YoY to ₹5508 Crin Mar’23 from₹4255 Crin Mar’22
Fee based income grew by 12% YoY to ₹914 Cr in Mar’23
Cost-to-Income Ratio improved to 46.47% in Mar’23 from 53.03% in Mar’22
Domestic NIM improved to 3.59% in Mar’23 from 2.87% in Mar’22
Return on Assets (RoA) improved to 0.82% in Mar’23 from 0.62% in Mar’22
Return on Equity (RoE) increased to 15.48% in Mar’23 from 11.70% in Mar’22
Advances increased by 14% YoY to ₹473586 Crin Mar’23 from₹415625 Crin Mar’22
RAM (Retail, Agriculture & MSME) advances grew by 12% YoY to ₹272679 Cr in Mar’23 from ₹242700 Crin Mar’22
RAM contribution to gross domestic advances is 61%. Retail, Agri & MSME advances grew by 13%, 16% & 7% YoY respectively. Home Loan (Including mortgage) grew by 11% YoY, Auto Loan by 28% YoY and Personal Loan by 46% YoY
Deposits increased by 5% YoY and reached to ₹621166 Crin Mar’23
CASA ratio stood at 42%
GNPA decreased by 252 bps YoY to 5.95% in Mar’23 from 8.47% in Mar’22, NNPA reduced by 137 bps to 0.90% from 2.27% in Mar’22
Provision Coverage Ratio (PCR, including TWO) improved by 644 bps YoY to 93.82% from 87.38% in Mar’22
Capital Adequacy Ratio at 16.49%. CET-I improved by 36 bps YoY to 12.89%
Tier I Capital improved by 31 bps YoY to 13.48%
Key Highlights (Year ended Mar’23 over Mar’22):
Net Profit up by 34% YoY to ₹5282 Cr inFY23from ₹3945 Crin FY22
Operating Profit increased by 20% YoY at ₹15271 Cr in FY23 from ₹12717 Cr in FY22
Net Interest Income grew by 21% to ₹20225 Cr inFY23from ₹16728 Cr in FY22
Return on Assets (RoA) increased to 0.77% inFY23from 0.63% in FY22
Return on Equity (RoE) improved to 14.73% in FY23 from 12.13% in FY22
Cost-to-Income Ratio improved to 44.20% in FY23from 46.21% in FY22
Net Interest Margin (NIM) Domestic increased by 50 bps to 3.41% inFY23from 2.91% in FY22
The Board of Directors has recommended a dividend of ₹8.60 per equity share (86%) for FY23 subject to requisite approvals
Key Highlights of Business Performance as on 31st March 2023:
Business:
Total Business recorded a YoY growth of 8% reaching the level of ₹1094752 Cr in Mar’23 from ₹1009243 Cr in Mar’22.
Advances grew by 14% to₹473586 Crin Mar’23 over ₹415625 Cra year ago. Growth in RAM sector is recorded at 12% YoY of which Retail, Agriculture & MSME grew by 13%, 16% & 7% YoY respectively.
Deposits grew by 5% YoYto ₹621166 Crin Mar’23 as compared to ₹593618 Crduring the corresponding period a year ago.
CASA deposits recorded a YoY growth of 5% and stood at ₹260809 Crin Mar’23. The share of CASA to deposits stood at 42%.
Priority Sector portfolio stood at ₹152992 Crin Mar’23. Priority sector advances as a percentage of ANBC stood at 44% as against the regulatory requirement of 40%.
Network:
The Bank has 5787 domestic branches, out of which 1964 are Rural, 1517 are Semi-Urban, 1165 are Urban & 1141 are in Metro category. The Bank has 3 overseas branches & 1 IBU.
The Bank has 4929 ATMs & BNAs and 10750 number of Business Correspondents (BCs).
Digital Banking:
The Bank has established 3 Digital Banking Units (DBUs) at South Delhi, Lucknow and Karaikal.
Transactions through ATM, BNA & Digital channels improved by 8% YoY in Q4FY23.
Mobile Banking users increased by 68% YoY, while its transactions increased by 72% YoY.
UPI users and transactions increased by 27% YoY and 109% YoY respectively.
During the year, the Bank has launched various Digital Journeys under its Digital Transformation Programme