Axis Bank

The third largest private sector bank announced, like HDFC Bank, a good set of numbers for Q4 and FY13 on the back of higher interest income and better margins. Its net profit for Q4FY13, at Rs.1555 crore, up 22% on a YoY. Net interest income was up 24% at Rs.2665 crore and NIM was up sequentially from 3.57% to 3.7%. Other Income comprising fees, trading profit and miscellaneous income, in Q4, e grew 26% YOY to Rs. 2,007 crore, driven mainly by driven by fee income which included Treasury and DCM, which grew 41% YOY, followed by retail banking. The Bank’s Advances grew 16% YoY, at Rs.1,96,966 crores as on 31st March 2013 and deposits rose 24% at Rs.1,23,308 crore. During the year, CASA grew 23%. On a daily average basis, CASA grew 14% YOY and constituted 36% of total deposits.

During the quarter, the Bank raised equity capital through a QIP and a preferential allotment to promoters aggregating Rs.5,537 crores to support future growth. Capital Adequacy Ratio (CAR) was at 17.00% as on 31st March 2013. In terms of asset quality, gross NPA was at 1-.06% v/s 1.10% (QoQ) and Net NPA was at 0.32% v/s 0.33%. The Bank held a provision coverage of 79% as on 31st March 2013 (as a proportion of Gross NPAs including prudential write-offs). The provision coverage (as a proportion of Gross NPAs before accumulated write-offs) was 89%. The Bank restructured assets aggregating Rs.791 crore during Q4FY13. The cumulative value of assets restructured till 31st March 2013, stood at Rs.4,368 crore, constituting 1.94% of gross customer assets. In terms of reach, during Q4FY13, the Bank added 160 branches and 882 ATMs to its network across the country and at the end of 31st March 2013, had a network of 1,947 domestic branches and extension counters and 11,245 ATMs.