Axis Bank Q4 Results: PAT at Rs 7,118 crore, misses analysts' estimates; Re 1 dividend declared

Axis Bank Q4 FY25 Results: Private sector lender Axis Bank on Thursday reported a net profit of Rs 7,118 crore for the quarter ended March 31, almost unchanged from the corresponding period a year ago but slightly lower than analysts' expectations. 

Its net interest income–or the difference between the interest earned and the interest paid–increased 5.5 per cent on a year-on-year basis to Rs 13,811 crore.

According to Zee Business research, Axis Bank was estimated to report a net profit of Rs 7,190 crore with a net interest income of Rs 13,850 crore. 

Axis Bank Q4 FY25 Earnings: How did the private lender perform operationally?

Axis Bank's net interest margin (NIM), a key measure of a lender's profitability, improved by 4 basis points sequentially to 3.97 per cent.

For the financial year ended March 31, its NIM came in at 3.98 per cent. 

“The Bank prioritised profitability over growth, considering the uncertain macros and tight liquidity environment dominating most of FY25, while continuing to meaningfully invest in making the franchise more sustainable," said Amitabh Chaudhry, MD and CEO, Axis Bank. 

"As we enter FY26, we believe the operating environment is improving, which should help us drive both growth and profitability," added Chaudhry. 

Axis Bank asset quality improves

The lender's asset quality improved, reflected in a sequantial decrease in its non-performing assets (NPAs) or bad loans. 

Its net non-performing assets (GNPAs) stood at 1.28 per cent and net non-performing assets (NNPAs) at 0.33 per cent, having declined by 18 bps and 2 bps on a quarter-on-quarter basis. 

Axis Bank provisions and contingencies

The lender reported provisions and contingencies to the tune of Rs 1,359 crore for the final quarter of FY25.

Deposits and loans

As of March 31, the bank's loans were up 8 per cent on a yeaand deposits 10 per cent higher on a year-on-year basis. 

CASA ratio

The lender's CASA ratio increased by 200 basis points (bps) sequentially to 41 per cent.

A higher CASA ratio means more cost-effective access to cash, and vice versa.

FY25 earnings

For the financial year ended March 31, the bank's net profit increased 6.0 per cente to Rs 26,373 crore.

Axis Bank share price news

Earlier on Thursday, Axis Bank sahres ended 0.1 per cent higher at Rs 1,207.3 apiece on BSE.

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