This was a much awaited performance from this large private sector banker and it did not disappoint. Profitability all around was good though there was some deterioration in the asset quality. But the markets have obviously liked the results, which is why today morning it figures amongst the top gainers on the BSE.

Helped by a 17% (YoY) rise in net interest income at Rs.5079 crore for Q4FY15, and 17% jump in other income at Rs.3496 crore, the bank ended the quarter with a 10% jump in net profit at Rs.2922 crore. NIM got better, up from 3.46% to 3.57% (QoQ).  Where 42% of its loan portfolio comes from retail, disbursements in retail saw a growth of 25% (YoY). Provisions saw a sharp jump of 88% (YoY) and by 37% (QoQ) to Rs.1345 crore. The provision coverage ratio was at 58.6%.

In terms of asset quality, things do not look good. Gros NPA rose 38 bps (QoQ) to 3.78% while Net NPA was up 34 bps at 1.61%. This was blamed on high restructuring of assets.  25% of the restructured assets, which is Rs.2246 crore became NPAs. In absolute term, gross NPA has seen a 15.4%at Rs.15,095 crore and net NPA surged 31% at Rs.6255 crore.