Axis Bank’s Q1 standalone profit down 46%

Mumbai: Lending major Axis Bank on Monday reported a decline of 46 per cent in its year-on-year stand alone net profit for the first quarter of 2018-19 due to higher net non-performing assets (NPAs).

According to the firm, net profit during the quarter under review decreased to Rs 701 crore from Rs 1,306 crore reported for the corresponding period of last fiscal.

However, the banking major’s net interest income grew by 12 per cent to Rs 5,167 crore during the quarter ended June 30, 2018 compared to Rs 4,616 crore in the corresponding period of the previous fiscal.

“Net interest margin for Q1FY19 stood at 3.46 per cent,” the lender said in a statement.

As per the statement, the bank has recognised slippages of Rs 4,337 crore during Q1FY19.

“As on 30th June 2018, the Bank’s Gross NPA stood at Rs 32,662 crores and Net NPA stood at Rs 14,902 crores. Recoveries and upgrades were Rs 2,917 crores while write-offs during the quarter were Rs 3,007 crores,” the statement said.

“Net slippages (before write-offs) in Retail and SME stood at Rs 537 crores and Rs 355 crores respectively. As on 30th June 2018, the Bank’s provision coverage, as a proportion of Gross NPAs including prudential write-offs, stood at 69 per cent.”