IndusInd net at Rs 25 cr

IndusInd Bank has posted a net profit of Rs 25.04 crore in the quarter ended December 31, 2007, compared with Rs 21.63 crore in the corresponding quarter last year. Total income was up 22.59 per cent to Rs 566.13 crore compared with Rs 461.79 crore in the year-ago period.

"The rise in profits is largely driven by high yields on advances. The bank's cost of funds has remained high on account of the low current and saving account (CASA) base. Of the total deposits of Rs 19,569.57 crore, CASA stood at 13.4 per cent. The bank will look at expanding its CASA base through new branches. The 600 branches of the bank's marketing subsidiary will also market all kind of retail products including deposit products,'' said Managing Director and Chief Executive Officer Bhaskar Ghose.

Total advances as on December 31, 2007, stood at Rs 12,933.51 crore, up 14.79 per cent compared with Rs 11,267.43 crore as on December 31, 2006. Total deposits as on December 31, 2007, were at Rs 19,569.57 crore, up 22.76 per cent compared with Rs 15,941.56 crore in the corresponding quarter last year.

Net interest margin of the bank during the period was at 1.27 per cent as against 1.74 per cent in the year-ago period, while the capital adequacy ratio was at 11.98 per cent. The bank plans to raise fresh capital by March.