Axis Bank Limited announced its financial results for the third quarter ended December 31, 2024, showcasing strong performance across key financial metrics.
Key Financial Highlights:
- Net Profit: The bank reported a net profit of ₹6,303.77 crore, reflecting a 3.83% year-on-year (YoY) growth from ₹6,071.10 crore in Q3 FY24.
- Total Income: Axis Bank recorded a total income of ₹36,926.14 crore in Q3 FY25, witnessing a slight decline of 0.58% QoQ from ₹37,141.71 crore but a robust YoY increase of 10.15% compared to ₹33,515.96 crore in Q3 FY24.
- Interest Earned: The bank’s interest earned stood at ₹30,953.94 crore, growing 1.75% QoQ from ₹30,419.86 crore and 10.66% YoY from ₹27,961.14 crore.
- Operating Profit: The operating profit (excluding provisions) for the quarter was ₹10,533.85 crore, showing a slight decline of 1.67% QoQ from ₹10,712.47 crore but an increase of 15.21% YoY from ₹9,141.24 crore.
- Total Expenditure: Total expenditure, including interest expended and operating expenses, stood at ₹26,392.29 crore in Q3 FY25, marginally lower QoQ from ₹26,429.24 crore but higher YoY compared to ₹24,374.72 crore.
Other Key Highlights:
- Interest Income:
The bank’s total interest earned rose to ₹30,953.94 crore in Q3 FY25, up from ₹27,961.14 crore in Q3 FY24. - Interest Expenses:
Interest expended increased to ₹17,348.09 crore in Q3 FY25, compared to ₹15,428.99 crore in Q3 FY24. - Net Interest Income (NII):
NII, calculated as the difference between interest earned and interest expended, stood at ₹13,605.85 crore for Q3 FY25, reflecting an 8.57% YoY growth.
Asset Quality:
- Gross Non-Performing Assets (GNPA):
GNPA stood at ₹15,850.3 crore, a 2.5% quarter-on-quarter (QoQ) increase.- GNPA ratio: 1.46% (vs 1.44% in Q2 FY25).
- Net Non-Performing Assets (NNPA):
NNPA rose to ₹3,774.8 crore, reflecting a 4.5% QoQ increase.- NNPA ratio: 0.35% (vs 0.34% in Q2 FY25).
Deposits:
- Total Deposits:
Deposits grew by 9.05% YoY to ₹10,95,882.8 crore, marking a 0.84% increase on a QoQ basis.
Axis Bank’s wealth management business, Burgundy, saw robust growth with assets under management (AUM) reaching ₹6,34,806 crore as of December 31, 2024, reflecting a 26% YoY increase and 3% QoQ rise. Capital adequacy remained strong with a CET1 ratio of 14.61% and CAR at 17.01%. Asset quality slightly deteriorated as Gross NPA and Net NPA stood at 1.46% and 0.35%, respectively, compared to 1.44% and 0.34% in Q2FY25. Recoveries from written-off accounts totaled ₹1,300 crore during the quarter, while gross slippages were ₹5,432 crore. The Bank’s provision coverage ratio stood at 78%, indicating prudent risk management practices.
Axis Bank’s domestic subsidiaries showcased strong performance in 9MFY25, with a collective PAT of ₹1,401 crore, reflecting a 26% YoY growth. Axis Finance achieved a PAT of ₹509 crore, up 20% YoY, supported by a 25% YoY growth in overall assets under finance, and maintained a robust Capital Adequacy Ratio of 21.22%. Axis AMC recorded a 24% YoY growth in QAAUM to ₹3,26,098 crore, with its PAT rising 27% YoY to ₹378 crore. Axis Capital delivered a PAT of ₹148 crore, marking a 36% YoY increase, while Axis Securities posted a remarkable 73% YoY revenue growth to ₹1,314 crore, with its PAT surging 86% YoY to ₹368 crore.
The bank’s consistent growth in net profit and robust YoY performance indicates strong operational efficiency and steady growth in its core banking operations.
