- 25 Jan 2022
- ICICIdirect Research
AXIS BANK REPORTS HEALTHY OPERATING PERFORMANCE
AXISBANK - 959 Change: -10.90 (-1.12 %)News: Axis Bank has posted a good set of numbers for Q3FY22 with NII growth of 9.5% QoQ and 17.4% YoY at Rs. 8653 crore, on the back of improved NIMs and strong credit growth. NIMs were up 14 bps sequentially to 3.53%. Provisions declined 23% QoQ to Rs.1335 crore, with improvement in asset quality. The bank has not utilised Covid provisions during the quarter. Thus, net profit for the quarter was up 223% YoY and 15% QoQ to Rs.3614 crore. Asset quality has improved as GNPA and NNPA ratio declined 36 bps and 17 bps sequentially to 3.17% and 0.91%, respectively. Credit growth for the quarter was strong at 17% YoY and 6.9% QoQ to Rs.6.6 lakh crore. Deposit growth was healthy at 20.3% YoY and 4.8% QoQ at Rs.7.7 lakh crore, CASA ratio was up to 44.6%
Views: Axis Bank has shown improvement in credit offtake and guidance on the same, which is positive. We believe healthy provisioning buffers should smoothen earnings trajectory, going ahead
Impact: Positive