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3 min read | Updated on May 04, 2024, 15:47 IST
SUMMARY
IDBI Bank Q4 results: The state-run lender said its board of directors have recommended a “dividend of ₹1.5 per equity share” of face value of ₹10 each for FY24. The record date and the payout timeline were not shared.
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In FY24, IDBI Bank clocked a net profit of ₹5,634 crore, up 55%
IDBI Bank posted a 43.7% year-on-year surge in net profit at ₹1,628.5 crore in the fourth quarter of financial year 2023-24 (Q4FY24), a regulatory filing showed on Saturday, May 4. In the year-ago quarter, the net profit stood at ₹1,133 crore.
The state-run lender’s net interest income (NII) – the difference between interest earned on loans and advances and interest paid on deposits – increased by 12% year-on-year to ₹3,688 crore, as against ₹3,280 crore in Q4FY23.
The gross non-performing assets (NPA) ratio improved to 4.53% as on March 31, 2024 as against 6.38% in the year-ago period. It also improved sequentially, as the gross NPA at the end of December 2023 quarter was 4.69%.
The net NPA ratio improved to 0.34% at the end of Q4FY24, as compared to 0.92% in the year-ago period. Sequentially, the net NPA remained unchanged.
IDBI Bank said its board of directors have recommended a “dividend of ₹1.50 per equity share” of face value of ₹10 each for FY24. The record date, to determine the eligible shareholders, and the payout timeline were not shared by the lender.
“The dividend on equity shares, will be paid/dispatched on or after the same is approved by the shareholders at the ensuing Annual General Meeting (AGM),” it said.
Total deposits increased to ₹2,77,657 crore at the end of the March 2024 quarter, as compared to ₹2,55,490 crore in the year-ago period.
The current account and savings account (CASA) ratio stood at 50.4% during the quarter under review, as against a ratio of 53.02% at the end of Q4FY23.
“Net advances grew by 16% YoY to ₹1,88,621 crore as on March 31, 2024 as against ₹1,62,568 as on March 31, 2023,” IDBI Bank added in a release. The composition of corporate versus retail in gross advances portfolio stood at 30:70 at the end of Q4FY24, it added.
Sharing some of the other key metrics, the bank said its return on assets (ROA) improved by 39 basis points to 1.82% in Q4FY24, as compared to 1.43% in Q4FY23.
Cost of deposit, which is the cost incurred as interest paid to deposit holders, stood at 4.48% in the March 2024 quarter, higher from 3.71% in the year-ago period.
Meanwhile, the cost of funds – the expenditure incurred on acquiring money to issue loans – increased to 4.74% in Q4FY24 as compared to 3.96% in Q4FY23.
The lender also noted that its risk weighted assets (RWA) stood at ₹1,76,531 crore as on March 31, 2024, increasing from ₹1,63,719 crore as on March 31, 2023.
Shares of IDBI settled 1.87% lower at ₹89.4 apiece on the NSE on May 3.
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