Axis Bank net up 25%

India’s third largest private sector lender, Axis Bank, on Saturday posted 25% year-on-year rise in the net profit on healthy growth in interest income and fee income.

India’s third largest private sector lender, Axis Bank, on Saturday posted 25% year-on-year rise in the net profit on healthy growth in interest income and fee income.

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The bank said its net profit in September quarter rose to Rs 920 crore compared to Rs 735 crore in the corresponding period last year.

Its net interest income (the difference between interest earned and interest paid) grew by 24% to Rs 2,007 crore during the quarter compared to R1,615 crore during the same period last year.

Fee income for the quarter under review rose by 32% to Rs 1,121 crore compared to Rs 849 crore in the same quarter a year ago.

Fee income from all its major businesses, including corporate credit, retail banking, treasury and agri and SME banking, rose during the September quarter, said Somnath Sengupta, executive director, Axis Bank.

The bank was able to protect profit margins as it posted a net interest margin (NIM) of 3.8% during the quarter compared to 3.7% during the same quarter previous year.

There was no deterioration in asset quality as bank’s net non performing assets (NPAs) assets as a proportion of net customer assets , were flat at 0.3%.