Total income declined 22.83% year on year to Rs 11,342.65 crore in the quarter ended 31 March 2025.
The bank’s financial results include the financial results of its wholly owned subsidiary, Bharat Financial Inclusion (BFIL), a business correspondent (BC) of the bank involved in originating small-ticket MFI loans for the bank, and IndusInd Marketing and Financial Services Private (IMFS), an associate of the bank.
The private lenders reported consolidated net loss of Rs 11,342.65 crore in Q4 FY25 as against a net profit of Rs 2,349.15 crore in Q4 FY24.
Operating expenses during the quarter were at Rs 4,248.04 crore, up 11.70% YoY.
On the asset quality front, the bank's gross non-performing assets (NPAs) stood at Rs 11,046.39 crore as on 31 March 2025, as against Rs 6,693.38 crore as on 31 March 2024.
The gross NPA were at 3.13% of gross advances as on 31 March 2025 as against 1.92% as on 31 March 2024. Net Non-Performing Assets were 0.95% of net advances as on 31 March 2025, compared to 0.57% as on 31 March 2024.
The provision coverage ratio was consistent at 70% as at 31 March 2025. Provisions and contingencies (other than tax) for the year ended 31 March 2025 were Rs 7,136 crores, compared to Rs 3,885 crores for the corresponding quarter of previous year.
The bank’s total deposits stood at Rs 4,10,862 crore as on 31 March 2025, registering a 6.83% increase from Rs 3,84,586 crore a year earlier. CASA deposits were at Rs 1,34,789 crore, with current account deposits at Rs 40,764 crore and savings account deposits at Rs 94,025 crore.
The CASA ratio stood at 32.8% as of March 31, 2025. Retail deposits, as per the Liquidity Coverage Ratio (LCR) framework, rose 9% year-on-year to Rs 1,85,180 crore from Rs 1,69,441 crore as on 31 March 2024.
As of March 31, 2025, the bank's distribution network comprised 3,081 branches and banking outlets, along with 3,027 onsite and offsite ATMs, compared to 2,984 branches and 2,956 ATMs as of 31 March 2024. The bank's client base reached 41 million as of 31 March 2025.
The bank’s total capital adequacy ratio (CAR) as per Basel III guidelines stood at 16.24% as of 31 March 2025, compared to 17.23% as of 31 March 2024. The Tier 1 capital to risk-weighted assets ratio (CRAR) was 15.10% as of 31 March 2025, down from 15.82% as of 31 March 2024.
In Q4 FY25, the micro loan book stood at Rs 30,909 crore, down 21% year-on-year (YoY). The corporate loan book also contracted, declining 6% YoY to Rs 1,43,463 crore.
On a full-year basis, the company’s net profit plunged 71.31% to Rs 2,575.54 crore, despite a 2.20% increase in total income, which rose to Rs 56,358.1 crore in FY25 compared to FY24.
Net interest income for FY25 stood at Rs 19,031 crore, compared to Rs 20,616 crore in FY24. Fee and other income for FY25 stood at Rs 7,690 crore, compared to Rs 9,396 crore in FY24.
The bank's pre-provision operating profit (PPOP) stood at Rs 3,601 crore in the December quarter, down 10.91% from Rs 4,042 crore reported in the same period a year ago.
Sunil Mehta, the chairman of the board of directors, IndusInd Bank said, “The Board and the Management acknowledge that the lapses happened have been unfortunate for an institution like our Bank. However, the Board along with the management has shown a strong resolve to address all the identified issues in timely and comprehensive manner.
The Bank has a robust Networth and balance sheet even after absorbing impact from all the past anomalies. The learnings from these incidents will be imbibed to reinforce the governance and compliance culture of the organisation. The Bank at its core has profitable business model and it will pivot towards sustainable growth as we put this episode behind us. The Bank would like to express its gratitude to the regulators and particularly the RBI for its support and guidance in helping navigating these challenging times.”
Soumitra Sen and Anil Rao, the members of the committee of executives, IndusInd Bank said, “The Bank’s core competencies remain strong which allows it to take these challenges in its stride. We are confident that the Bank will emerge stronger as the foundation will become robust incorporating the learnings from recent events.
The management is committed to ensure interests of all the stakeholders are protected and deliver on the near and long term growth agenda with unrelenting focus on governance. We are thankful to the Board for their continued guidance and direction, all the employees who have ensured smooth customer service in current times, the regulators as well as shareholders in helping the franchise and we look forward to their continued support.”
Meanwhile, the board has initiated the process of identifying potential CEO candidates and is making significant progress.
IndusInd Bank was incorporated in 1994 as a commercial bank under the Banking Regulation Act, 1949. The Bank is publicly held and provides a wide range of banking products and financial services to corporate and retail clients besides undertaking treasury operations. The Bank operates in India including at the International Financial Service Centres in India.
Shares of IndusInd Bank rose 0.67% to Rs 776.30 on the BSE.