Axis Bank

The asset quality of the Bank was relatively stable but profitability continued to slip – this was the sixth consecutive quarter when profits have fallen.  Net profit of Axis Bank for Q1FY18 came in at Rs.1306 crore, down 16% while NII was up 2% at Rs.4,616 crore. Net Interest Margin too slipped from 3.63% to 3.83%. Other income was up 9.5% at Rs.3000 crore.

In terms of asset quality, Gross NPA fell from 5.04% to 5.03% (QoQ) but Net NPA rose 19 bps to 2.3%. Its provisions fell 9% (QoQ) at Rs.2341 crore and the Bank stated that it has set aside Rs.184 crore towards the four beleaguered sectors – power, infra, iron & steel and telecom.

Its gross slippages have come down 27% (QoQ) at Rs.3519 crore while its watch list on NPAs declined 16% (QoQ) to Rs.7941 crore. The Bank has stated that its net restructured assets stood at Rs.5336 crore, down 0.8% (QoQ).