IDBI shares rally 4% as Q3 net profit zooms 31% to ₹1,908 crore, gross NPA ratio improves

The double-digit year-on-year growth in the net profit was driven by lower provisioning and better interest income.

The LIC-controlled bank’s total income stood at ₹8,565 crore during the third quarter of the 2024-25 fiscal, rising 13.99% against ₹7,514 crore in the same period last year.

The bank's interest income improved during the third quarter of the current fiscal year to ₹7,816 crore from ₹6,541 crore in Q3 FY24. Furthermore, its net interest income improved to ₹4,228 crore, compared to ₹3,435 crore in the quarter ended December 31 of the financial year 2023-24.

The gross non-performing asset (NPA) ratio improved to 3.57% as of December 31, 2024, against 4.69% as of December 31, 2023. Similarly, the net NPA also declined to 0.18% from 0.34% at the end of December 2023.

As a result, provisioning and contingencies came down to ₹166 crore in the December quarter, from ₹320 crore in the same quarter of the last fiscal year.

The IDBI stock closed in the green at ₹85.34, climbing almost 2% on the National Stock Exchange. The shares hit an intra-day high of ₹87.48 apiece, up 4.13% on Monday.