IDFC First Bank Q3: Profit up 48% and NII up 12%, asset quality stable:Gross NPAs have declined, while net NPAs are at the same level as the previous quarter.

News Topical, Digital Desk : IDFC First Bank has released its quarterly results. The bank saw a sharp increase in profits, with a 48% increase in net income. NPAs increased by 12%. Furthermore, asset quality remained stable. Gross NPAs declined, while net NPAs remained at the same level as the previous quarter.

The bank's net profit increased by 48% year-on-year to ₹502.5 crore, compared to ₹339.4 crore in the same period last year. Net interest income (NII) increased by 12% to ₹5,492.4 crore, compared to ₹4,902 crore a year ago. NII is the difference between the interest earned by a bank on loans and the interest paid on the loan amount. The bank's asset quality remained stable. Gross NPA stood at 1.69%, compared to 1.86% in the previous quarter. Net NPA stood at 0.53%, which is almost stable on a quarterly basis compared to 0.52% a year ago. In terms of amount, gross NPAs stood at ₹4,614 crore and net NPAs at ₹1,427 crore, compared to ₹4,841 crore and ₹1,345 crore in the previous quarter.

After the results, the bank's MD and CEO V Vaidyanathan said that strong momentum continues across all key business segments, including lending, deposits, wealth management, and transaction banking. He also noted that the recent reduction in savings rates is expected to further reduce the cost of funds, which will expand the bank's lending business. IDFC First Bank's stock closed flat at ₹83.5 in the previous session. The stock has gained approximately 32% in the past year.