Axis Bank's total revenues, including interest income of the lender increased by 27% to Rs8,280.29 crore during the September quarter
New Delhi: Private sector lender Axis Bank recorded 22% increase in its net profit at Rs1,123.54 crore for the second quarter ended September 2012 on the back of lower expenses, reports PTI.
The bank had a net profit of Rs920.32 crore in the corresponding quarter last fiscal, Axis Bank said in a statement.
The total revenues, including interest income of the lender increased by 27% to Rs8,280.29 crore during the July-September quarter, from Rs6,510.89 crore over the same period last year.
The bank continues to show strong performance in terms of growth of net interest income (NII), fee income and operating revenue. With slower growth of operating expenses compared to revenue, the bank's operating profit and net profit have also shown healthy growth, Axis Bank said in a statement.
NII for the second quarter was Rs2,327 crore against Rs2,007 crore in the same period a year ago. At the same time operating expenses grew by 18.8% to Rs1,741.73 crore compared to Rs1,466.54 crore in the previous fiscal.
During the quarter, other income grew 29% to Rs1,593 crore, driven by growth in fee income which stood at Rs1,343 crore thereby registering a growth of 20%, it said.
The main business segments driving fee growth during the quarter were retail banking, which grew 43% and large and mid-corporate banking which grew 15%, it added.
The bank recorded a net interest margin (NIM) of the bank rose to 3.46% at the end of in September from 3.37% at the end of first quarter.
During the first half of 2012-13, the bank clocked 22% rise in net profit to Rs2,277.06 crore, compared to Rs1,862.67 crore in the same period a year ago.
The bank reported a total income of Rs16,098.66 crore in the first six months, compared to Rs12,560.16 crore in the previous financial year.
The bank's NII rose by 21% to Rs4,507 crore during the first half of 2012-13 from Rs3,731 crore in the same period of the previous fiscal.
The bank's balance sheet improved by 21% to Rs3,02,681 crore while the bank's advances grew 23% to Rs1,72,132 crore at the end of September 2012.
Capital Adequacy Ratio (CAR) for the bank was 12.99% at the end of second quarter.
As on September 2012, Gross NPAs and Net NPAs stood at 1.10% and 0.33%, respectively as against 1.08% and 0.34%, as on September 2011.
The bank held a provision coverage of 80% as on September 30, 2012 (as a proportion of Gross NPAs including prudential write-offs).
Meanwhile, the bank has appointed Somnath Sengupta and V Srinivasan as executive directors with effect from 15 October 2012.