AXIS BANK Q4 RESULTS 2024: NET PROFIT RISES TO RS 7,130 CR, ASSET QUALITY REMAINS HEALTHY

Axis Bank reported its Q4FY24 numbers on Wednesday evening, 24th April, after the market closing. Earlier in the day, the share price closed 0.72% higher at Rs 1,064.05 per share. Let us look at everything in detail about Axis Banks for Q4FY24.  

About Axis Bank

Axis Bank is one of the leading private sector banks which offers a wide range of financial products and services, including retail and corporate banking, wealth management, and insurance. The bank is known for its extensive network of branches and digital banking solutions.

Crucial parameters

• PE: 27.32
• 52-week high: Rs 1,151.50
• Market Cap: Rs 3,28,352.82 crore
• EPS(TTM): 19.69

Share price movement

In the last month, Axis Bank's shares have increased by nearly 11%. In last one year, the returns are 20.51%. For the 5-year time frame, the share price are below the benchmark indices, with a return of 40% returns.

How has Axis Bank performed in Mar'24 quarter?

Let us look at Axis Bank's Q4FY24 numbers in detail:

Profit: The bank reported an operating profit of Rs 10,536 crore, a growth of 15% YoY and 15% QoQ. The net profit for Q4FY24 stood at Rs 7,130 crore,  compared to net loss of Rs 5,728 crore in Q4FY23, and grew 17% QoQ.

Net Interest Income: The Bank's NII represents the difference between the interest income generated by the bank from its interest-earning assets and the interest expenses it incurs on its interest-bearing liabilities.

Axis Bank's NII grew 11% YoY to Rs 13,089 crore. Sequentially, NII was up by 4%. Net interest margin (NIM) for Q4FY24 stood at 4.06%, up 5 basis points sequentially.

Other Income: Fee income for Q4FY24 increased by 23% YoY to Rs 5,637 crore. Retail fees grew 33% YoY and 12% QoQ and constituted 74% of the Bank’s total fee income. Retail cards and payments fees grew 39% YoY and 4% sequentially. Retail Assets (excluding cards and payments) fee grew 59% YoY.

The Corporate and Commercial banking fees together grew 2% YoY to Rs 1,478 crore. The trading income gain for the quarter stood at Rs 1,021 crore; miscellaneous income in Q4FY24 stood at Rs 107 crore. Overall, non-interest income (comprising of fee, trading, and miscellaneous income) for Q4FY24 grew 41% YoY to Rs 6,766 crore.

Deposits: Axis Bank's total deposits increased by 13% YoY on a period-end basis, within which savings account deposits grew 2% YoY, and current account deposits grew 5% YoY. For Q2FY24, the total term deposits increased by 22% on-year and 4% sequentially. 

The share of CASA deposits in total deposits stood at 43%. On QAB basis, total deposits grew 16% YoY and 5% QoQ, within which savings account deposits grew 10% YoY, current account deposits grew 4% YoY and 7% QoQ. Total term deposits on QAB basis grew 23% YoY and 7% QoQ with retail term deposits growth of 16% YoY and 3% QoQ.

Advances: Axis Bank's advances increased 14% on-year and 4% over Q3FY24 to Rs 9,65,068 crore as of 31 March 2024. Domestic net loans grew 15% YoY and 4% QoQ. Retail loans jumped 20% on-year and 7% sequentially to Rs 5,83,265 crore and accounted for 60% of the net advances of the bank. The share of secured retail loans was ~ 72%, with home loans comprising 28% of the retail book. Home loans grew 5% YOY.

Asset Quality: As of 31 March, 2024 the Bank’s reported Gross NPA and Net NPA levels were 1.43% and 0.31% respectively 1.58% and 0.36% as on 31st December 2023.

Dividend: The Board of Directors has recommended dividend of Rs 1 per equity share of face value of Rs 2 per equity share for the year ended 31st March 2024. This would be subject to approval by the shareholders at the next annual general meeting.