IndusInd Bank - Stable Q4; Growth Concerns Remain: Dolat Capital
A guard stands at the entrance to an IndusInd Bank Ltd. branch in Mumbai, India. (Photographer: Dhiraj Singh/Bloomberg)

IndusInd Bank - Stable Q4; Growth Concerns Remain: Dolat Capital

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Dolat Capital Report

IndusInd Bank Ltd.’s operating metrics were in-line, with net interest income and pre-provision operating profit growing by 9%/10% YoY respectively and largely stable net interest margin.

NIM was adversely impacted by higher liquidity during Q4 FY21 with 7% QoQ rise in deposits versus less than 3% growth in advances.

Asset quality trends were mixed with healthy provision coverage ratio at 75%, rise in standard provision buffers (excluding of general provisions) by Rs 6.3 billion to 0.8% of advances or Rs 17.5 billion, and superior asset quality trends in the micro finance institution book (slippages at 3% for FY21).

However, restructuring at 4% for the vehicle book seems higher than peers.

Click on the attachment to read the full report:

Dolat Capital Indusind Bank Q4FY21 Result Update.pdf

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.