Axis bank logs 23% hike in net profit to ₹7,114 crore in April-June quarter, asset quality improves
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Axis Bank today reported a 23 percent increase in standalone net profit to ₹7,114 crore for Q1, FY27 compared with ₹5,806 crore in the corresponding quarter last year. The hike in profitability comes on the back steady operating performance and stable asset quality.
“As customer expectations evolve and technology continues to reshape financial services, our focus remains on building a franchise that combines trust, innovation and resilience at scale. This quarter, we continued to invest across these priorities - strengthening digital security, deploying AI to simplify customer journeys, expanding growth platforms and supporting ecosystems that drive economic progress,” said Amitabh Chaudhry, MD & CEO, Axis Bank.
“With these investments we hope to create enduring value for our customers, stakeholders and the communities we serve,” he added.
Net interest income (NII), the spread between interest received and interest outgo, increased 8 percent year-on-year to ₹14,646 crore from ₹13,560 crore in the same quarter of the previous financial year.
Net interest margin (NIM) for Q1, FY27 stood at 3.46 percent. The bank witnessed a rise of 7% in fee income to ₹6,156 crore, while total non-interest income stood at ₹6,735 crore. The bank logged in operating profit came of ₹11,659 crore, while core operating profit witnessed an increase of 10 percent year-on-year to ₹11,122 crore.
During the quarter, the bank’s asset quality improved. It reported GNPA at 1.28% down 29 basis points year on year while the net NPA at 0.39% was down 6 bps year on year.
For the quarter, gross slippages stood at ₹5,566 crore, compared with ₹8,200 crore in the corresponding quarter of the previous financial year. Net credit cost declined to 0.63 percent.
Provisions and contingencies stood at ₹2,223 crore during the quarter. This includes specific loan loss provisions of ₹2,079 crore. It may be noted that the bank continues to hold an additional one-time provision of ₹2,001 crore created in the previous quarter towards macroeconomic and geopolitical uncertainties. However, there have been no drawdown during the June quarter.