IndusInd Bank Q2 Net Profit Rises 20% QoQ

Key Financial Performance - Q2 FY27

Profit & Loss Account (Consolidated):

Net Interest Income: ₹4,569 crore (4% YoY growth, 2% QoQ decline)
Other Income: ₹2,248 crore (36% YoY growth, 26% QoQ growth)
Total Income: ₹6,817 crore (12% YoY growth, 5% QoQ growth)
Operating Expenses: ₹3,943 crore (2% YoY decline, 7% QoQ growth)
Operating Profit: ₹2,874 crore (40% YoY growth, 4% QoQ growth)
Provisions & Contingencies: ₹1,223 crore (54% YoY decline, 12% QoQ decline)
Profit before Tax: ₹1,652 crore (vs loss of ₹584 crore YoY, 19% QoQ growth)
Provision for Tax: ₹410 crore
Profit after Tax: ₹1,242 crore (vs loss of ₹437 crore YoY, 20% QoQ growth)

Half Year FY27 Performance (H1FY27):

Net Interest Income: ₹9,254 crore (2% YoY growth)
Other Income: ₹4,034 crore (6% YoY growth)
Total Income: ₹13,289 crore (3% YoY growth)
Operating Expenses: ₹7,641 crore (7% YoY decline)
Operating Profit: ₹5,648 crore (22% YoY growth)
Provisions & Contingencies: ₹2,607 crore (41% YoY decline)
Profit before Tax: ₹3,041 crore (vs ₹223 crore YoY)
Provision for Tax: ₹762 crore
Profit after Tax: ₹2,279 crore (vs ₹167 crore YoY)

Balance Sheet Position (End of Period Consolidated)

Capital & Liabilities:

Capital: ₹779 crore (unchanged YoY and QoQ)
Reserves and Surplus: ₹67,142 crore (4% YoY growth, 2% QoQ growth)
Deposits: ₹4,28,832 crore (10% YoY growth, 3% QoQ growth)
CA Deposits: ₹36,742 crore (15% YoY growth, 6% QoQ growth)
SA Deposits: ₹83,024 crore (5% YoY decline, 5% QoQ decline)
Borrowings: ₹53,781 crore (19% YoY growth, 23% QoQ growth)
Other Liabilities and Provisions: ₹29,614 crore (8% YoY growth, 0% QoQ change)
Total Liabilities: ₹5,80,148 crore (10% YoY growth, 5% QoQ growth)

Assets:

Cash and Balances with RBI: ₹18,073 crore (29% YoY decline, 46% QoQ decline)
Balances with Banks: ₹44,862 crore (216% YoY growth, 37% QoQ growth)
Investments: ₹1,06,391 crore (14% YoY decline, 7% QoQ decline)
Advances: ₹3,63,104 crore (11% YoY growth, 11% QoQ growth)
Fixed Assets: ₹2,518 crore (2% YoY decline, 0% QoQ change)
Other Assets: ₹45,200 crore (28% YoY growth, 1% QoQ growth)
Total Assets: ₹5,80,148 crore (10% YoY growth, 5% QoQ growth)

Key Financial Metrics

Net Interest Margin: 3.23% (vs 3.57% QoQ)
Return on Assets: 0.87% (41bps YoY improvement, 9bps QoQ improvement)
Return on Equity: 7.37% (367bps YoY improvement, 111bps QoQ improvement)
Earnings Per Share: ₹63.8 (20% QoQ growth)
Book Value Per Share: ₹847 (6% YoY growth, 2% QoQ growth)
CRAR: 16.59% (51bps YoY decline, 56bps QoQ decline)
CET 1: 15.55% (vs 16.10% Q1FY27)
Liquidity Coverage Ratio: 127% (4% YoY decline, 0% QoQ change)
Provision Coverage Ratio: 70% (162bps YoY decline, 123bps QoQ decline)

Asset Quality Metrics

Gross NPA: 2.73% (vs 3.25% QoQ, 21bps YoY improvement)
Net NPA: 0.83% (vs 0.95% QoQ, 12bps QoQ improvement)
Net Security Receipts: 0.03% (vs 0.07% QoQ)
Restructured Book: 0.04% (vs 0.05% QoQ)
SMA 1 & SMA 2: 0.05% (vs 0.12% QoQ)
Credit Cost: 1.40% (181bps YoY decline, 34bps QoQ decline)

Loan Book Composition & Growth

Total Loan Book: ₹3,63,104 crore (11% YoY growth, 11% QoQ growth)

Retail Loans (58% share): ₹2,10,330 crore (13% YoY growth, 12% QoQ growth)

Vehicle Finance: ₹1,00,651 crore (5% YoY growth, 1% QoQ growth, 28% share)
Rural Banking: ₹33,338 crore (6% YoY decline, 6% QoQ growth, 9% share)
Consumer Banking: ₹76,341 crore (38% YoY growth, 36% QoQ growth, 21% share)

Includes Retail FCNR(B) deposits related Advances of ₹16,564 crore

Wholesale Loans (42% share): ₹1,52,774 crore (10% YoY growth, 10% QoQ growth)

Large Corporates: ₹58,631 crore (1% YoY growth, 8% QoQ growth, 16% share)
Institutional & Government Banking: ₹37,197 crore (23% YoY growth, 8% QoQ growth, 10% share)
Commercial Banking, Mid Market and Others: ₹56,947 crore (12% YoY growth, 13% QoQ growth, 16% share)

Sector-wise Loan Mix

NBFCs (excl NBFC-MFI & HFCs): 6.26%
Real Estate - Commercial, Residential & Warehousing: 4.10%
Gems and Jewellery: 2.89%
Steel: 2.04%
Power Generation – Non Renewable: 1.72%
Power Generation – Renewable: 1.47%
Construction: 1.39%
Others: 22.17%
Wholesale Banking: 42.04%
Consumer Banking: 57.96%

Deposit Performance

Average Total Deposits: ↑ 7% QoQ
Average Retail Deposits: ↑ 5% QoQ
Retail Deposit share: 49.0% (vs 49.5% QoQ)
Cost of Deposits: 4.64% (262bps QoQ decline, 27bps YoY decline)
Cost of SA: 6.23% (vs 6.09% Q1FY27)

Loan Related Provisions

Specific provision for non-performing accounts: ₹7,023 crore (towards PCR)
Floating provisions: ₹70 crore (towards PCR)
Standard asset provisions: ₹1,919 crore (including restructured)
Total loan related provisions: ₹9,012 crore (2.48% of loans)
Provision Coverage Ratio: 70%
Total loan related provisions: 89% of GNPA

Credit Ratings

Domestic Rating:

CARE A1+ for Certificate of Deposits
CRISIL A1+ for certificate of deposit program / short term FD programme
CRISIL AA+ for Infrastructure Bonds program/Tier 2 Bonds
IND AA+ for Issuer Rating by India Ratings and Research
IND AA+ for Senior bonds program/Tier 2 Bonds by India Ratings and Research

International Rating:

Ba1 for Senior Unsecured MTN programme by Moody's Investors Service

ESG Highlights

Target year for Carbon Neutrality in own operations: 2032
Green, Climate, Social, Livelihood & inclusive portfolio: ~37% of loan book (FY26, externally assured)
LEED certification: 3 Offices, 14 Branches/Lobbies
CSR initiatives: 12,237 hectares area restored and treated
Water potential created: 20.57 lakh kilo litres under CSR
Water harvesting: ~17X more water harvested in FY25 than bank wide consumption
Signatory to UN Principles for Responsible Banking from July 2026

Awards & Accolades

'Silver' award for Excellence in Supply Chain Visibility and Analytics (Finance)
'Best Bank Financing the Industry' at 52nd India Gems & Jewellery Awards by GJEPC
'Best Use of Agents in Testing Award' for automated regression testing implementation
'Passion Award' at Automation Anywhere Imagine India 2026 for Generative AI and automation applications