IDBI Bank reports profit in Q2 at Rs 324 crore as provisions decline significantly

Trade

• Watchlist
• Portfolio
• Message
• Set Alert

 

 

Choose Stock Exchange: BSE LIVE NSE LIVE

26 Aug, 2025 12:21

Volume

Todays L/H

More

×

Private sector lender IDBI Bank, on October 23, has reported profit of Rs 324 crore for Q2FY21, against loss of Rs 3,459 crore in the corresponding quarter of the last fiscal. A significant fall in provisions helped the bank report profit.

Net interest income during the quarter at Rs 1,695 crore grew by 4 percent YoY with 37 bps expansion in net interest margin at 2.70 percent in Q2FY21.

On the asset quality front, gross non-performing assets (NPA) improved to 25.08 percent as on September 2020 against 26.81 percent as on June 2020, the bank said, adding net NPA ratio improved to 2.67 percent against 3.55 percent on sequential basis.

Provisions and contingencies for the quarter ended September 2020 stood at Rs 581.15 crore, declining 90 percent YoY and 35 percent QoQ.

Bank has made COVID-19 related provision of Rs 247 crore in March quarter 2020 and Rs 189 crore in June quarter. Cumulative COVID-19 related provision was Rs 436 crore as at September 2020, which meant that the bank has not made any fresh COVID-19 related provision in September quarter.

IDBI Bank said it had, as a prudent measure, made provision of Rs 270 crore towards the expected provisioning requirement for cases to be restructured under the Resolution framework.

Find All Earnings Related News Here

Provision coverage ratio (including technical write-offs) improved to 95.96 percent in September quarter from 94.71 percent in previous quarter, the bank said.

Pre-provision operating profit increased 23 percent year-on-year to Rs 1,246 crore and non-interest income rose 3.8 percent to Rs 1,071.85 crore in July-September quarter.