Axis Bank Q4 Financial Report: Profit Jumps to ₹7,130 Crore, NII Rises YoY

Private lender Axis Bank released its financial results for the fourth quarter of fiscal year 2023-24, showcasing a significant improvement compared to the same period last year. The bank revealed a strong net profit of ₹7,130 crore for Q4, a substantial climb from the loss of ₹5,728.4 crore in the corresponding quarter.

The core highlight of the earnings was the impressive growth in the Net Interest Income (NII) to ₹13,089 crore, marking an 11.5% increase from the previous year’s figure of ₹11,742 crore.

Highlighting the performance, Amitabh Chaudhry, the Managing Director & CEO of Axis Bank, expressed positivity regarding the bank’s progress in various strategic areas, including Bharat Banking, Digital, and Sparsh. Chaudhry also stated that the ongoing Citi integration is proceeding as planned, with expectations of reaching the final milestone in the coming six months.

Notable financial metrics for Q4 included a reported net interest margin (NIM) of 4.06%, indicating a five basis points rise quarter-on-quarter. The bank’s board recommended a dividend of Re 1 per equity share for the financial year 2023-24, subject to shareholder approval at the upcoming annual general meeting.

As of March 31, 2024, Axis Bank reported gross non-performing asset (NPA) levels at 1.43%, a decrease from the prior quarter figures. Recoveries from written-off accounts during the quarter amounted to ₹919 crore, aiding in stabilizing asset quality.

In the domain of provisions and contingencies, the bank recorded specific loan loss provisions of ₹832 crores for Q4, with a cumulative provision coverage of 79% of Gross NPA as on March 31. The Axis Bank balance sheet stood at ₹14,77,209 crore, reflecting notable growth over the previous year.