Axis Bank Q2 Results FY2023, PAT at Rs. 5329.77 crores

On 20th October 2022, Axis Bank announced its second quarter results for the period ending 30th September 2022. 

Q2FY23 Performance updates:

- The Bank’s Net Interest Income (NII) grew 31% YoY and 10% QoQ to Rs.10,360 crores. Net interest margin (NIM) for Q2FY23 stood at 3.96%, up by 57 bps YoY and 36 bps QoQ.
- Fee income for Q2FY23 grew 20% YoY and 8% QoQ to Rs. 3,862 crores. Retail fees grew 28% YoY and 10% QoQ; and constituted 68% of the Bank’s total fee income. 
- The Bank’s balance sheet grew 13% YoY and stood at Rs.11,85,272 crores. The total deposits grew by 10% YoY on a quarterly average balance (QAB) basis as well as on a period-end basis. On a QAB basis, savings account deposits grew 14% YoY and 3% QoQ, current account deposits grew 11% YoY; and total term deposits grew 8% YoY. On an MEB basis, the share of CASA deposits in total deposits stood at 46%, up 172 bps YoY & 251 bps QoQ.
- The Bank’s net advances grew 18% YoY and 4% QoQ to Rs.7,30,875 crores. Domestic net loans grew 20% YoY and 4% QoQ
- The bank reported its Net Profit of Rs. 5329.77 crores

Business Highlights:

- Retail loans grew 22% YoY and 3% QoQ, SBB and Rural loans grew 69% YoY and 46% YoY respectively 
- SME loans grew 28% YoY and 7% QoQ, Domestic Corporate loans grew 9%YoY and 7% QoQ 
- Mid-Corporate (MC) book is up by 49% YoY and 9% QoQ 
- Overall capital adequacy ratio (CAR) including profit for H1FY23 stood at 17.72% with a CET 1 ratio of 15.14% 
- 16% market share in UPI transactions and 18% in UPI P2M acquiring (by throughput) 
- Mobile banking market share stood at 15%, Axis Mobile & Axis Pay have crossed 6.2 million non-Axis Bank customers 
- 85+ digital partnerships across platforms and ecosystems; about 6.9 million customers on WhatsApp banking 
- GNPA at 2.50% declined by 103 bps YoY & 26 bps QoQ, NNPA at 0.51% declined 57 bps YoY & 13 bps QoQ o PCR healthy at 80%; On an aggregated basis3, Coverage ratio at 1.60% 
- Annualized, gross slippage ratio declined 156 bps YoY & 17 bps QoQ, net slippage ratio at 0.32%, down 14 bps YoY 
- Annualized credit cost for Q2FY23 at 0.38%, declined by 16 bps YoY and 3 bps QoQ

Commenting on the results, Amitabh Chaudhry, MD&CEO, Axis Bank said, “Over the past 12 months, we have made significant strides across every identified priority area. The focus on customer obsession and digitization has got our acquisition engine humming. The core operating profits and margins have grown on the back of strong performance across business segments. We are building a high-quality, granular franchise with the customer at the center while extending our network and services to semi-urban and rural geographies to tap into the Bharat opportunity. We are excited about the future of Axis Bank.” 
 

Axis bank share price went up by 8.17%.