Axis Bank hits a new high

Axis Bank posted some spectacular numbers for Q3FY19. It bounced back in the quarter with a 131% (YoY) jump in net profit at Rs.1681 crore. NII was up 18% at Rs.5604 crore with non-interest income going up 54% at Rs.4001 crore and NIM showed an improvement from 3.36% to 3.47%.

Along with this, its asset quality also improved. Gross NPA was at 5.75% v/s 5.96% (QoQ) and Net NPA came down to 2.36% v/s 2.54%.

Its provisions for the quarter rose 9% to Rs.3054 crore and the Bank recovered Rs.998 crore from two accounts in the prudentially written-off pool, compared to Rs.40 crore in previous Q3. Recoveries and upgrades from NPAs during the quarter were Rs.1,622 crore, while write-offs were Rs.2,207 crore. The bank has recognised slippages of Rs 3,746 crore in the quarter up from Rs 2,777 crore (QoQ) of which Rs 1,887 crore was on account of corporate loans. 

The market was thrilled with Bank’s numbers for Q3FY19 and the stock hit a new 52-week high today at Rs.703.