- Its capital adequacy ratio stood at 20.44 percent with Common Equity Tier of 18.08 per cent at the end of March 2023
- Net Profit surges to all time high at ₹3,645 crore for the year and ₹1,133 crore for Q4 FY 23, YTD growth of 49% and QoQ growth of 22%.
- The Board proposed dividend of ₹1 per share, after 8 years, subject to approval of the members at the ensuing Annual General Meeting.
- Bank has opened 42 new branches during FY 2023 after 5 years.
NE BUSINESS BUREAU
MUMBAI, APR 29
Private sector lender IDBI Bank’s net profit for the March 2023 quarter rose by 64 percent year-on-year (Y-o-Y) to Rs 1,133 crore on the back of improved net interest margins. The lender recorded an all-time high of net profit of Rs 3,645 crore, which is 49 percent more than Rs 2,439 crore for FY22. In its regulatory filing, the bank said the profit sequentially increased by 22.2 percent from Rs 927 crore in December 2022 (Q3FY23).
Besides, its Net interest income (NII) increased by 35 percent to Rs 3,280 crore in Q4FY23, as against Rs 2,420 crore in the same quarter last year. Sequentially, NII is up by 12 per cent from Rs 2,925 crore registered in December quarter of FY23.
Net interest margins improved to 5.01 per cent for Q4 FY23 as compared to 3.97 per cent for Q4FY22, and sequentially, 4.59 per cent in Q3 FY23.
IDBI Bank’s board of directors declared a dividend of 10 per cent (Rs one) per share of Rs 10 each for the financial year ended March 2023 (FY23), subject to shareholder’s approval, the bank said in a filing with BSE. It has proposed a dividend after eight years, the bank officials said.
The bank reported that its provisions steeply rose up to Rs 1,292 crore in the March quarter as compared to Rs 823 crore in Q4 FY22 and Rs 1,124 crore in the December quarter of FY23. Provision Coverage ratio expanded to 97.94 per cent in the quarter under review.
In term of bad loans, the bank said its gross NPA dipped drastically to 6.38 per cent in Q4 FY23 compared to 20.16 per cent in Q4 FY22. Net NPA was below the 1 per cent, to 0.92 per cent in the March 2023 quarter as compared to 1.36 per cent in Q4 of FY22.
