The share of private lender IndusInd Bank has risen 8.57%, or 75.35 points, to ₹954.25 after the bank reported a 64.4% year-on-year rise in its standalone profit to ₹1,603.29 crore during Q1 FY23 on an uptick in net interest income (NII).

The private bank share opened a gap up 2.51% at ₹893.90 from the previous close of ₹878.90 and rose to its day's high of ₹959.35 (9.15% up) on the Bombay Stock Exchange (BSE). At the same time, the benchmark Sensex is up 0.30%, while the banking sector has a risen 0.52%, shows BSE data.

The IndusInd stock, which outperformed the sector by 6.84%, is trading higher than 5-day, 20-day, 50-day and 100-day moving averages but lower than 200-day moving averages today.

At the time of filing the report, 4.56 lakh shares of the bank having a turnover worth ₹42.51 crore were exchanging hands as compared to the two-week average of 1.27 lakh shares per day.

The stock has been gaining for the last 4 days and has risen 15.53% returns in the period. IndusInd Bank's current m-cap stands at ₹73,770.39 crore. Meanwhile, in one year, the banking stock has underperformed the Sensex by -9.09%.

The bank, in its earnings report on Wednesday, said its net interest income (NII) grew by 16% YoY to ₹4,125 crore from ₹3,564 crore. The bank says its net interest margin (NIM) improved to 4.21% as compared to 4.06% as of June 30, 2021, and 4.20% as of March 31, 2022. For the quarter ending June 2022, IndusInd Bank's other income grew by 12% YoY to ₹1,932 crore from ₹1,723 crore. Core fee grew by 47% to ₹1,786 crore as against ₹1,214 crore for the corresponding quarter of the previous year.

Sumant Kathpalia, managing director and CEO, Induslnd Bank, says Q1 FY23 saw a "turbulent operating environment" with inter-linkages of inflation, reversal of accommodative monetary policy and Russia-Ukraine conflict playing out. "All key profitability metrics across NIMs, core PPOP margin, RoA and RoE have maintained a positive trajectory," he adds.

The bank's balance sheet as of June 30, 2022, was ₹4,10,100 crore as against ₹3,72,996 crore as of June 30, 2021, showing a growth of 10%. Its deposits as of June 30, 2022, stood at ₹3,02,719 crore as against ₹2,67,233 crore, an increase of 13% over June 30, 2021. CASA deposits rose to ₹1,30,508 crore with current account deposits at ₹35,265 crore and savings account deposits at ₹95,243 crore. The bank's CASA deposits comprised 43% of its total deposits as of June 30, 2022.

The private bank's advances as of June 30, 2022, were ₹2,47,960 crore vs ₹2,10,727 crore, up 18% over June 30, 2021. In terms of asset quality, the bank's gross NPAs were at 2.35% of gross advances as of June 30, 2022, against 2.27% as of March 31, 2022. The net NPAs were 0.67% of net advances as of June 30, 2022, as compared to 0.64% on March 31, 2022.

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