IDFC FIRST Bank’s Q1 net profit increased by 61% to Rs. 765 billion

IDFC FIRST Bank said on Saturday that significant growth in core operational income was a major factor in the net profit increase of 61% year over year to Rs 765 crore for the April-June quarter of this year.

The bank made a net profit of Rs. 474 crore from April through June of 2022–23.

Pre-provision operating profit excluding trading profits, or “core operating profit,” increased sharply by 45%. Y-o-Y, the amount increased from Rs 987 crore in Q1-FY23 to Rs 1,427 crore in Q1-FY24, according to a statement from the bank.

In the first quarter of the current fiscal year, the bank’s net interest income (NII) increased 36% to Rs 3,745 crore from Rs 2,751 crore in the same time last year.

As of June 30, 2023, its Gross NPA decreased from 3.36 percent at the end of June 2022 to 2.17 percent. The bank’s net NPAs decreased from 1.30 percent at June 30, 2022, to 0.70 percent at the end of June 2023.

Vaidyanathan, Managing Director and CEO of IDFC FIRST Bank, commented on the outcome, saying, “We continue to establish a solid franchise with a high CASA Ratio of 46.5 Percent. Based on our strong, positive brand, ethics, customer-friendly goods, and technological breakthroughs, our retail deposits are increasing nicely.

The financed assets of the private sector lender grew by 25% from Rs. 1,37,663 crore at June 30, 2022 to Rs. 1,71,578 crore at June 30, 2023.

According to IDFC FIRST Bank, infrastructure finance is still being reduced in accordance with its stated goal; as of June 30, 2023, it made up just 2.2% of all funded assets.

As of June 30, 2022, its exposure to the top 20 single borrowers decreased from 9% to 7% as of June 30, 2023.