Axis Bank Q2 Results Highlights: Net profit jumps 18% YoY; Net interest income growth remains flat

• Axis Bank reported nearly 10% YoY growth net interest income at ₹13483 crore as compared to ₹12315 crore. On QoQ basis the net interest income remained flat as compared to ₹13447 crore in Q1FY25.
• The net profit for the quarter jumped nearly 18% YoY to ₹6,917 crore as compared to ₹5863 crore in the previous year similar quarter. The sharp jump in the net profit for the quarter was largely led by favourable tax adjustments resulting into lower tax payments during the quarter.
• On the asset quality front, the private lenders GNPA stood at 1.44% for Q2FY25 as compared to 1.54% for Q1FY25 and 1.74 % for Q2FY24, which marks a significant improvement in the overall asset quality of the bank.

• The bank’s reported Gross NPA and Net NPA levels were 1.44% and 0.34% respectively as against 1.54% and 0.34% as on 30th June, 2024.
• Gross slippages during the quarter were 4,443 crores, compared to 4,793 crores in Q1FY25 and `3,254 crores in Q2FY24.

• Net Interest Income for H1FY25 grew 11% YOY to 26,931 crore from 24,273 crore. Fee income grew 13% YOY to 10,711 crore.
• Operating profit for H1FY25 grew by 19% to 20,819 crores from 17,446 crores. Core operating profit for H1FY25 grew by 13% to 19,238 crores from `17,028 crores.
• Total provisions for H1FY25 stood at 4,243 crores.
• Net Profit for H1FY25 grew 11% to 12,952 crores from 11,661 crores in H1FY24.

• Steady growth in deposits, CASA continues to be the best amongst large peer banks.
• Term deposits grew 21% YOY, CA grew 13% YOY, SA grew 1% YOY.
• Average LCR2 during Q2FY25 was ~115%.

• On the balance sheet front, the company's deposit profile remained strong for the quarter at ₹1085743 crore as compared to ₹955556 crore in Q2FY24
• The bank reported advances of ₹999979 crore 11.4% higher than ₹897347 crore in previous year similar quarter.

• Axis Bank reported nearly 10% YoY growth net interest income at ₹13483 crore as compared to ₹12315 crore. On QoQ basis the net interest income remained flat as compared to ₹13447 crore in Q1FY25.
• The net profit for the quarter jumped nearly 18% YoY to ₹6,917 crore as compared to ₹5863 crore in the previous year similar quarter. The sharp jump in the net profit for the quarter was largely led by favourable tax adjustments resulting into lower tax payments during the quarter.
• On the asset quality front, the private lenders GNPA stood at 1.44% for Q2FY25 as compared to 1.54% for Q1FY25 and 1.74 % for Q2FY24, which marks a significant improvement in the overall asset quality of the bank

On Monday, Axis Bank has said it held the number one position in the UPI payer payment service provider in September, with a market share of over 30%.

The lender said it has partnered with both large fintech giants who were early entrants in the UPI space, but also joining hands with new entrants in this space, as per a statement.

• Current price: ₹1,131.1 (-1.92%)
• Previous close: ₹1,153.2
• Open: ₹1,151
• High: ₹1,151.35
• Low: ₹1,124

• Savings accounts
• Current accounts
• Fixed deposits
• Personal loans
• Home loans
• Car loans
• Credit cards
• Insurance products
• Mutual funds
• Demat and trading accounts

• Nurani Subramanian Vishwanathan, Independent Director & Non-Executive (Part-time) Chairman
• Amitabh Chaudhry, Managing Director & CEO
• Girish Paranjpe, Independent Director
• Meena Ganesh, Independent Director
• Gopalaraman Padmanabhan, Independent Director
• Prof S Mahendra Dev, Independent Director
• PN Prasad, Independent Director
• Ch SS Mallikarjunarao, Independent Director
• Mini Ipe, Non-Executive (Nominee) Director
• Pranam Wahi, Additional Independent Director
• Rajiv Anand, Deputy Managing Director
• Subrat Mohanty, Executive Director
• Munish Sharda, Executive Director

• Current price: ₹1,131 (-1.9%)
• Previous close: ₹1,153.2
• Open: ₹1,151
• High: ₹1,151.35
• Low: ₹1,130.30

• Traded volume (Lakhs): 23.29
• Traded value: ₹265.53 crore
• Total market capitalisation: ₹3,51,031.58 crore
• Free float m-cap: ₹3,23,097.29 crore

The private lender is forecasted to post lower loan growth for Q2 FY25. Due to rising funding costs, the bank's net interest margins (NIM) are also likely to contract and may fall 3-15 basis points (bps) sequentially.

According to analysts, the net profit may report a high single-digit growth led by lower provisions and growth in net interest income.