IDFC FIRST Bank Q1 Results: Net profit soars 61% at Rs 765 crore

IDFC FIRST Bank on Saturday said its net profit rose by 61 per cent year-on-year to Rs 765 crore in the April-June quarter this year mainly driven by strong growth in core operating income.

The bank's net profit for the April-June quarter of 2022-23 was Rs 474 crore.

"Core operating profit (pre-provision operating profit excluding trading gains) grew strongly by 45 per cent Y-o-Y from Rs 987 crore in Q1-FY23 to Rs 1,427 crore for the quarter Q1-FY24," the bank said in a statement.

The bank's net interest income (NII) grew 36 per cent to Rs 3,745 crore in the first quarter of the current fiscal compared to Rs 2,751 crore in the year-ago period.

Its Gross NPA improved to 2.17 per cent as of June 30, 2023, from 3.36 per cent as of end-June 2022.

Net NPAs of the bank improved to 0.70 per cent at end-June 2023 from 1.30 per cent at June 30, 2022.

Commenting on the result, V Vaidyanathan, Managing Director and CEO, IDFC FIRST Bank, said, "We continue to build a strong franchise with a high CASA Ratio of 46.5 per cent. Our retail deposits are growing well, based on our strong positive brand, ethics, customer-friendly products and digital innovations".

The private sector lender's funded assets increased by 25 per cent from Rs 1,37,663 crore as of June 30, 2022, to Rs 1,71,578 crore as of June 30, 2023.

IDFC FIRST Bank further said it continues to wind down infrastructure financing as per stated strategy and now constitutes only 2.2 per cent of total funded assets as of June 30, 2023.

It's exposure to top 20 single borrowers reduced from 9 per cent as of June 30, 2022, to 7 per cent as of June 30, 2023.