Revenues were impacted by Rs 568 million, which the company calls “prudent provisions” (stress in MFI business) of Rs 315 million, and one Maharashtra-based fee account of Rs 253 million. I received it.
deposits and loans
IDFC First Bank’s customer deposits grew 32.4% year-on-year from Rs 1,64,726 crore as on September 30, 2023 to Rs 2,18,026 crore as on September 30, 2024. Retail deposits grew 37.4% year-on-year from Rs 1,27,595 crore. 1,75,300 crore from September 30, 2023 to September 30, 2024.
CASA’s deposits increased by 37.5% YoY to Rs 79,468 crore as on September 30, 2023 from Rs 79,468 crore as on September 30, 2023. 109,292 billion yen as of September 30, 2024. The CASA ratio was 48.9% as of September 30, 2024. As of September 30, 2024, personal deposits accounted for 80.4% of total customer deposits. Banks’ cost of funds was 6.46% in 2QFY25, a slight improvement from the previous quarter. Excluding high-cost conventional borrowings, cost of funds for the second quarter of 2025 was 6.37%.loans and prepayments
Loans and advances, including credit substitutes, increased by 21.5% year-on-year from Rs 1,83,236 million as on September 30, 2023 to Rs 2,22,613 million as on September 30, 2024. Banks’ retail books grew by 25% year-on-year, while corporate (non-infrastructure) lending in the quarter grew by 20% year-on-year.
The bank’s legacy infrastructure book declined by 21% year-on-year to Rs 2,654 million as on September 30, 2024, representing 1.2% of the bank’s total cash assets.
The share of microfinance portfolio in total loans outstanding decreased from 6.3% in June 2024 to 5.6% in September 2024.
asset quality
Gross NPAs were reported at 1.92% as on September 30, 2024 as against 2.11% as on September 30, 2023. On the other hand, net NPAs were 0.48% as of September 30, 2024 as against 0.68% as of September 30, 2023.
The Bank’s PCR ratio increased to 75.27% as of September 30, 2024 from 68.18% as of September 30, 2023 and 69.38% as of June 30, 2024.
Fees and other income increased 18% year-on-year from Rs 1,376 crore in Q2 FY24 to Rs 1,622 crore in Q2 FY25. Operating profit increased by 21% from Rs 5,380 crore in Q2 FY24 to Rs 6,515 crore in Q2 FY25. Operating expenses increased 18% year-on-year from Rs 3,870 crore in 2QFY24 to Rs 4,553 billion in 2QFY25.
Capital status
• The bank succeeded in raising Rs 100 million. In July 2024, 320 billion yen of new equity capital will flow in from major domestic institutional investors.
• The bank also successfully completed its merger with IDFC Ltd in October 2024, which added capital of Rs 618 million to its net assets, while the number of shares outstanding stood at 16.64 billion. decreased.
• Including Q2 2025 earnings and taking into account the merger impact described above, the total CRAR as of September 30, 2024 would be 16.60% and the CET-1 ratio would be 14.08%.
Commenting on the earnings, V Vaidyanathan, MD and CEO, said that while the brand, technology and high service levels have enabled strong deposit growth, the company’s core drivers remain strong. “The ability to grow deposits is a key strategic strength of the Bank. Deposits grew at a healthy 32% year-on-year. Our overall lending growth remained stable at 21.5% on a year-on-year basis. As seen in other industries, the microfinance business has also seen an impact since January 2024, with MFI payments being insured by the CGFMU, reaching 75% by the end of March 2025. It is expected that this will happen,” Vaidyanathan said.
“As a prudent move, we have made an additional provision of Rs 315 crore for the microfinance sector. “We have set aside an additional provision of Rs 253 million for each related toll road. The bank will recognize this as profit subject to toll collection and government compensation to customers,” he said. further stated.
“Our core operating performance is strong and we are confident of returning to profitability going forward,” the MD and CEO said.
