Axis Bank posts flat Q4 profit at ₹7,117 cr; NII grows 6% to ₹13,811 cr
Mumbai: Axis Bank on Thursday reported a marginal dip in its consolidated net profit at ₹7,117 crore for the fourth quarter of FY25, compared to ₹7,130 crore in the corresponding period last year.
The flat performance was largely due to subdued growth in other income.
However, the result came ahead of market expectations, as analysts surveyed by Bloomberg had projected a net profit of ₹6,381 crore for the quarter.
During the fourth quarter, net interest income (NII) rose 6% year-on-year to ₹13,811 crore from ₹13,089 crore.
Other income showed a slight increase to ₹6,780 crore from ₹6,766 crore in the year-ago quarter, with the gain weighed down by an 83% slump in trading income, which fell to ₹173 crore.
“The bank prioritised profitability over growth, considering the uncertain macros and tight liquidity environment dominating most of FY25, while continuing to meaningfully invest in making the franchise more sustainable,” said Amitabh Chaudhry, MD & CEO of Axis Bank, during the earnings call, reported The Financial Express.
“As we enter FY26, we believe the operating environment is improving, which should help us drive both growth and profitability.”
The net interest margin (NIM) stood at 3.97% in Q4, slightly higher than 3.93% in the preceding quarter but lower than 4.06% in the same period last year.
Deposits grew 10% year-on-year to ₹11.72 lakh crore.
Term deposits increased 14% to ₹6.94 lakh crore, while the share of current account and savings account (CASA) deposits rose to 41% of total deposits from 39% in the previous quarter.
The bank also made strides in asset quality. Gross non-performing assets (NPAs) fell to 1.28% as of March-end, down from 1.43% a year earlier. Net NPA ratio came in at 0.33% in Q4, slightly up from 0.31% in Q3. Gross slippages during the quarter were ₹4,805 crore, compared to ₹5,432 crore in the previous quarter.
Recoveries and upgrades from NPAs stood at ₹2,791 crore, while the bank wrote off ₹3,375 crore worth of NPAs during the quarter.
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