IDBI Bank Q2 Results: Net Profit Surges 39% To Rs 1,836 Cr; Asset Quality Improves

The financial results for the quarter that ended on September 30, 2024, have been released by IDBI Bank today. The bank's operating profit increased by 45% in Q2-2025 to Rs 3,006 from Rs 2,072 crore in Q2-2024, while its net profit climbed by 39% to Rs 1,836 crore from Q2-2024's net profit of Rs 1,323 crore. According to IDBI Bank, its net interest income jumped 26% to Rs 3,875 crore during the quarter under review from Rs 3,066 crore during the same period last year. The bank's cost-to-income ratio decreased by 558 basis points to 42.05% in Q2-2025 from 47.63% in Q2-2024, while its net interest margin (NIM) grew by 54 basis points to 4.87% in Q2-2025 from 4.33% in Q2-2024.

The cost of funds for iDBI Bank was 4.87% in Q2-2025 compared to 4.49% in Q2-2024, while the cost of deposits was 4.66% in Q2-2025 compared to 4.22% in Q2-2024. The bank's total deposits climbed to Rs 2,77,602 crore on September 30, 2024, up 11% from Rs 2,49,434 crore on September 30, 2023, while CASA grew to Rs 1,33,639 crore on a year-on-year basis from Rs 1,28,464 crore, up 4.03%. The CASA ratio was 48.14%. As of September 30, 2024, the bank's net advances were Rs 2,00,944 crore, up 19% year on year from Rs 1,68,502 cr in the same period in 2023.

The bank's net non-performing asset (NPA) ratio improved to 0.20% on September 30, 2024, from 0.39% on September 30, 2023, while its gross non-performing asset (NPA) ratio surged to 3.68% on September 30, 2024, from 4.90% on September 30, 2023. According to IDBI Bank, as of September 30, 2024, its Provision Coverage Ratio (including Technical Write-Offs) grew from 99.10% to 99.42% in the year-ago quarter.

The bank's CRAR jumped to 21.98% on September 30, 2024, from 21.26% on September 30, 2023, while its Tier 1 capital increased to 19.89% on September 30, 2024, from 18.86% on September 30, 2023. As of September 30, 2024, IDBI Bank's Risk Weighted Assets (RWA) were Rs 1,84,335 crore, compared to Rs 1,61,618 crore in the same period in 2023.

All four rating agencies-ICRA, CRISIL, CARE, and India Rating-have reaffirmed IDBI Bank's short-term credit rating at "A1+," while the bank's long-term credit rating has been upgraded from "AA-/Stable" to "AA/Stable."