IDFC First Bank Q3 net doubles to Rs 605 crore

IDFC First Bank Q3 net doubles to Rs 605 crore

IDFC First Bank’s net profit rose 115% year-on-year in October-December due to a growth in its net interest income.

The bank posted a bottom-line of Rs 605 crore in the December quarter, up nearly 9% on quarter. The bank’s net interest income grew 27% year-on-year to Rs 3,285 crore in October-December. The net interest income was aided by a growth in the bank’ funded assets.

The funded assets, which includes advances and credit substitutes, rose 25% year-on-year to Rs 1.5 trillion as on December 31.

The bank continues to wind down infrastructure financing, as per stated strategy. It reduced its infrastructure financing book by 31% year-on-year. The book now constitutes only 3.7% of total funded assets, the bank said in a press release.

Also, exposure to top 20 single borrowers reduced to 7% as on December 31 from 11% a year ago. Customer deposits rose 44% year-on-year to Rs 1.2 trillion as on December 31. Specifically, Current account savings account (CASA) deposits grew 39% y-o-y to Rs 66,498 crore as on December 31.

CASA ratio fell to 50% as on December 31 from 51.6% a year ago. Retail deposits constitutes 77% of total customer deposits as of December 31. Legacy High Cost Borrowings fell to Rs 18,762 crore as on December 31 from Rs 26,163 crore a year ago.

The bank’s gross non-performing asset ratio fell to 2.96% as on December 31 from 3.96% a year ago. Net non-performing asset ratio fell to 1.03% as on December 31 from 1.74% a year ago.