Axis Bank comes out of red with Rs 1,505 crore profit in Q4

Private lender Axis Bank on Thursday reported a net profit of Rs 1,505 crore during January to March of 2019 due to improved asset quality compared to a loss of R 2,189 crore in the corresponding period of last year.

The operating profit too jumped 37 per cent to Rs 5,014 crore from Rs 3,672 crore.

The bank said retail along with small and medium enterprises now form 63 per cent of the loans.

The net interest income grew 21 per cent year-on-year Rs 5,706 crore during Q4 of FY 19 from Rs 4,730 crore in Q4 of FY 18. Significantly, recoveries and upgrades from non-performing assets were Rs 2,376 crore while write-offs were Rs 1,701 crore.

For the whole of financial year 2018-19, net profit increased to Rs 4,677 crore as compared to Rs 276 crore in the previous year.

The operating profit grew 22 per cent from Rs 2,255 crore to Rs 2,749 in 2017-18.

Net interest income grew 17 per cent year-on-year to Rs 21,708 crore from Rs 18,618 crore in FY 18.

However, bank's gross non-performing assets stood at Rs 29,789 crore and net non-performing assets at Rs 11,276 crore.

On March 31, 2019 the balance sheet stood at Rs 8 lakh crore, up 16 per cent year-on-year. Advances increased by 13 per cent to Rs 4.94 lakh crore.

The bank has recommended a dividend of Re 1 per equity share on a face value of Rs 2.