Axis Bank Q4 Results: Profit comes flat; NII grows 6%, NIM declines YoY

Axis Bank Q4 results: Axis Bank, India’s fourth largest private bank in terms of market capitalisation, on Thursday, April 24, reported a 0.20 per cent year-on-year (YoY) decline in its standalone net profit to ₹7,117.50 crore for the March quarter (Q4) of the last financial year (FY25). In the same quarter last year, the company’s profit stood at ₹7,129.67 crore.

Total interest earned during the quarter rose 6.90 per cent YoY to ₹31,242.51 crore from ₹29,224.54 crore in the corresponding quarter of the previous financial year.

Axis Bank Q4 net interest income and margins

The bank said its net interest income (NII) grew 6 per cent year over year to ₹13,811 crore. The net interest margin (NIM) for Q4FY25 stood at 3.97 per cent, down nine bps compared to 4.06 per cent YoY.

Axis Bank Q4 operating profit

Axis Bank’s operating profit for the quarter under review saw a mild growth of 2 per cent YoY to ₹10,752 crore. Operating cost grew 6 per cent YoY in Q4FY25.

Axis Bank provision and contingencies

Provision and contingencies for Q4FY25 stood at ₹1,359 crore, while specific loan loss provisions for Q4FY25 stood at ₹1,369 crore.

Axis Bank said it had cumulative provisions (standard + additional, other than NPA) of ₹11,957 crore at the end of Q4FY25, which was over and above the NPA provisioning included in its PCR calculations.

“These cumulative provisions translate to a standard asset coverage of 1.15 per cent as on 31st March 2025. On an aggregated basis, our provision coverage ratio (including specific + standard + additional) stands at 157 per cent of GNPA (gross non-performing assets) as on 31st March 2025,” said Axis Bank.

Axis Bank balance sheet

Axis Bank’s balance sheet grew 9 per cent YoY and stood at ₹16,09,930 crore as on 31st March 2025. The total deposits grew 7 per cent Qoq and 10 per cent YoY on a month-end basis.

The share of CASA (current account savings account) deposits in total deposits surged to 41 per cent from 39 per cent at the end of Q3FY25, said Axis Bank.

Axis Bank loan book

The bank’s advances grew 3 per cent QOQ and 8 per cent YoY to ₹10,40,811 crore as on 31st March 2025. Retail loans grew 3 per cent QOQ and 7 per cent YoY to ₹6,22,897 crore and accounted for 60 per cent of the net advances of the bank.

The share of secured retail loans was nearly 72 per cent, with home loans comprising 27 per cent of the retail book.

Home loans grew 1 per cent YoY, personal loans grew 8 per cent YoY, and credit card advances grew 4 per cent YoY.

The bank said its SME book remains well diversified across geographies and sectors, growing 14 per cent YoY and 4 per cent QoQ to ₹1,18,521 crore. Corporate loan book grew 8 per cent YoY.

Axis Bank asset quality

According to Axis Bank’s exchange filing, its reported gross NPA and net NPA levels were 1.28 per cent and 0.33 per cent, respectively, as on 31st March 2025, as against 1.46 per cent and 0.35 per cent as on 31st December 2024.

Gross slippages during the quarter were ₹4,805 crore, compared to ₹5,432 crore in Q3FY25 and ₹3,471 crore in Q4FY24.

Axis Bank said that as on 31st March 2025, its provision coverage, as a proportion of gross NPAS, stood at 75 per cent, as compared to 76 per cent as at 31st December 2024 and 79 per cent as at 31st March 2024.

Axis Bank dividend

The board of directors has recommended a dividend of ₹1 per equity share of face value of ₹2 per equity share for FY25.

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Disclaimer: This story is for educational purposes only. The numbers given in this story have been taken from Axis Bank’s exchange filing. The views and recommendations above, if any, are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions, as market conditions can change rapidly, and circumstances may vary.