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Axis Bank Q4 results highlights: Profit at Rs 7,130 cr; dividend, Rs 55,000 cr fundraising announced



Amit Mudgill

Axis Financial institution This autumn earnings: Axis Financial institution on Thursday reported a standalone internet revenue of Rs 7.129.67 crore for the March quarter in contrast with Rs 6,071.10 crore revenue within the December quarter (up 17 per cent QoQ) and Rs 5.728,42 crore loss in the identical quarter final 12 months. The non-public lender mentioned its Web Curiosity Revenue (NII) for the quarter grew 11 per cent YoY to Rs 13,089 crore. Web curiosity margin (NIM) for the quarter  got here in at 4.06 per cent, up foundation factors (bps) QoQ.

Axis Financial institution different Revenue
Payment revenue for the quarter rose 23 per cent YoY to Rs 5,637 crore. Retail charges was up 33 per cent YoY and constituted 74 per cent of the financial institution’s complete payment revenue. “Retail playing cards and funds payment grew 39 per cent YoY. Retail Property (excluding playing cards and funds) payment grew 20 per cent YoY. Charges from Third Celebration Merchandise grew 59 per cent YoY, the financial institution mentioned.

The Company & Industrial banking charges collectively grew 2 per cent YoY to Rs 1,478 crore. The buying and selling revenue acquire for the quarter stood at Rs 1,021 crore; miscellaneous revenue got here in at Rs 107 crore.

“Total, non-interest revenue (comprising of payment, buying and selling and miscellaneous revenue) for Q4FY24 grew 41% YOY and 22% QOQ to Rs 6,766 crore,” the financial institution mentioned.

Provisions and contingencies
Provision and contingencies for Q4FY24 stood at Rs 1,185 crore. Particular mortgage loss provisions for Q4FY24 stood at Rs 832
crore. The financial institution has not utilised Covid provisions in the course of the quarter and these are reclassified to different provisions. The
financial institution eld cumulative provisions of Rs 12,134 crore on the finish of Q4FY24.

“On an aggregated foundation, our provision protection ratio (together with particular + customary and different provisions) stands at 159 per cent of GNPA as on thirty first March 2024. Credit score value for the quarter ended thirty first March 2024 stood at 0.32 per cent,” it mentioned.

Axis Financial institution NPAs, slippages 

The financial institution’s reported Gross NPA of 1.43 per cent in opposition to 1.58 per cent within the third quarter. Web NPA got here in at 0.31 per cent in opposition to 0.36 per cent QoQ. Recoveries from written off accounts for the quarter stood at Rs 919 crore.

“Reported internet slippages within the quarter adjusted for recoveries from written off pool was Rs 398 crore, of which retail was Rs 1,061 crore, CBG was unfavourable Rs 62 crore and Wholesale was unfavourable Rs 601 crore. Gross slippages in the course of the quarter had been Rs 3,471 crore, in comparison with Rs 3,715 crore in Q3FY24 and Rs 3,375 crore in Q4FY23. Recoveries and upgrades from NPAs in the course of the quarter had been Rs 2,155 crore. The financial institution within the quarter wrote off NPAs aggregating Rs 2,082 crore,” it mentioned.

Axis Financial institution dividend

The financial institution board really helpful a remaining dividend of Re 1 per fairness share, topic to approval of the members of the Financial institution on the ensuing thirtieth Annual Normal Assembly. The dividend, if authorised, will probably be paid inside 30 days from the date of conclusion of the AGM.

Rs 55,000 crore fundraising

The Axis Financial institution board authorised elevating of funds by concern of debt devices in Indian/overseas forex together with, however not restricted to, long run bonds, masala bonds, sustainable/ ESG Bonds (together with inexperienced bonds), optionally/compulsorily convertible debentures, non-convertible debentures, perpetual debt devices, AT 1 Bonds, infrastructure Bonds and Tier II Capital Bonds or such different debt securities as could also be permitted underneath the RBI pointers on occasion, as much as an quantity of Rs. 35,000 crore.

Moreover, Axis Financial institution mentioned it could increase as much as Rs 20,000 crore by way of concern of fairness shares, depository receipts and/or another devices or securities representing both fairness shares and/or convertible securities linked to fairness shares together with via certified establishments placement (QIP)/ American depository receipts (ADRs)/ World depository receipts (GDRs) program, preferential allotment or such different permissible mode or mixtures thereof as could also be thought-about applicable by the board.

“An fairness provide threat might be a near-term overhang for share value efficiency, particularly contemplating that the inventory has already seen vital latest fairness provide from latest block offers (Dec’23 and Apr’24),” Nomura India mentioned earlier this week.

Disclaimer: Enterprise Immediately offers inventory market information for informational functions solely and shouldn’t be construed as funding recommendation. Readers are inspired to seek the advice of with a professional monetary advisor earlier than making any funding choices.

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