Axis Bank Q3 Results: Private lender Axis Bank on Thursday, reported a standalone net profit increase of 3.8%, reaching ₹6,304 crore in December 2024, compared to a profit after tax (PAT) of ₹6,071 crore in the corresponding quarter of the previous financial year. On the other side, PAT dropped by 9% on a sequential basis compared to Q2FY25’s ₹6,918 crore.

Axis Bank’s Net Interest Income (NII) grew by 8.6% YoY to ₹13,606 crore, while its Net Interest Margin (NIM) for Q3FY25 was at 3.93%.

In its exchange filing, the private lender reported that the bank’s operating profit for the quarter increased by 15% year-on-year, reaching ₹10,534 crores. The core operating profit saw a 14% year-on-year rise, amounting to ₹10,102 crores.

The growth in operating costs further slowed to 1% year-on-year in Q3FY25, down from 9% year-on-year in Q2FY25. The net profit experienced a 4% year-on-year increase, totaling ₹6,304 crores in Q3FY25.

Asset quality stable

As of December 31, 2024, the Bank’s reported Gross Non-Performing Asset (NPA) and Net Non-Performing Asset (NPA) levels were 1.46% and 0.35%, respectively, compared to 1.44% and 0.34% on September 30, 2024, according to the private lender.

In comparison to Q2FY25’s gross slippages of ₹4,443 crores and Q3FY24’s gross slippages of ₹3,715 crores, the quarter’s gross slippages came to ₹5,432 crores. During the quarter that ended December, ₹1,915 crores were recovered and upgraded from non-performing assets. During the quarter (Q3FY25), the bank wrote off a total of ₹3,133 crores in non-performing assets.

Capital Adequacy

The CET1 ratio was 14.61% and the Capital Adequacy Ratio (CAR) was 17.01% as of December 31, 2024.

Network

The Bank’s distribution network now consists of 5,706 domestic branches and extension counters and 202 Business Correspondent Banking Outlets (BCBOs) spread across 3,122 centers as of December 31, 2024, up from 5,252 domestic branches and extension counters and 156 BCBOs spread across 2,910 centers as of December 31, 2023, thanks to the addition of 130 branches during the quarter.

Management comments

“We closed 2024 on a high, firming up our businesses, our capabilities, our presence across the length and breadth of the country with hundreds of new bank branches. Digital and Rural have been our big drivers, along with Sustainability and Inclusivity.

This quarter we also rehashed our brand credo – celebrating our customer first approach through our new campaign Har Raah Dil Se Open. It’s a reminder for us to stand committed to the evolving needs and aspirations of our customers. The Axis team is upbeat and eager to unlock the opportunities of 2025, supporting the ambitions of a resurgent India, as it looks forward to becoming the third largest global economy in the next few years,” said Amitabh Chaudhry, MD&CEO.

Axis Bank share price today

On Thursday, Axis Bank share price ended 1.25% higher at ₹1,040.20 apiece on BSE. Riyank Arora, Technical Analyst, Mehta Equities Ltd stated that Axis Bank is trading around 1044, going towards a critical support zone at ₹1,000- ₹1,010, which has been a good demand area. The RSI has improved to 29, indicating a consolidation phase. A push move above ₹1,054 could push the stock toward ₹1,100 and ₹1,120. A close below ₹1,000 would change the outlook and may lead to further downside.

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