Axis Bank, a leading private sector lender, has registered a net profit to the tune of Rs.1,505 crore during the fourth quarter of the last financial year that ended on 31 March 2019. In comparison, during the year-ago period, the lender had registered a net loss of around Rs.2,189 crore. The private sector lender’s net profit for the whole of FY19 rose almost 17 times to touch Rs.4,677, as against a net profit of Rs.276 crore in FY18.
Axis Bank’s board has, thus, approved a dividend of Re.1 per share of Rs.2 each. A key reason for the significant increase in Axis Bank’s net profit is due to the improvement in the lender’s asset quality.
Further, the lender’s provisions for bad loans reduced to Rs.2,711 crore during the period under review from Rs.7,179 crore in March 2018. Axis Bank’s domestic loans grew by 18%, while its overseas book declined by 29%.
Retail loans of the lender grew by 19% YoY to touch Rs.2.45 lakh crore, while SME loans grew by a total of 12% YoY to a sum of Rs.65,584 crore. The lender’s loan-to-deposit ratio touched 90% during the period under review, in comparison to a loan-to-deposit ratio of 92% at the end of the third quarter of FY19.
Source: The Times of India