Customer Deposits for the quarter under review rose from Rs 1,64,726 lakh crore in Q2FY24 to Rs 2,17,738 crore in Q2FY25, showing a YoY growth of 32.2%. The bank has been growing deposits at a faster pace compared to loans as it continues to raise funds to repay legacy borrowings. The need for such growth in deposits will slow down after legacy borrowings are repaid, according to the bank.
Meanwhile, CASA deposits increased by 37.6% on a YoY basis to Rs 1,09,345 crore. The CASA ratio stood at 48.9% as of September 2024, as compared to 46.4% as of September 2023.
Credit rating agencies CRISIL and CARE reaffirmed the bank’s long-term credit rating at AA+ Stable.
Meanwhile, in the June quarter of 2024, IDFC First Bank reported that its standalone net profit fell 11% YoY to Rs 680.65 crore. Its net interest income (NII) during the quarter rose 25.4% to Rs 4,695 crore while interest income jumped 28% to Rs 8,789 crore.
The lender’s net interest margin (Gross of IBPC and sell-down) reduced from 6.33% in Q1 FY24 to 6.22% in Q1 FY25. Its fee and other income grew 19% YoY from Rs 1,341 crore in Q1 FY24 to Rs 1,595 crore in Q1 FY25.Total deposits of the bank increased by 35.8% YoY to Rs 2,09,666 crore as in Q1 while CASA deposits grew 36.1% YoY to Rs 97,692 crore. CASA Ratio stood at 46.6% as on June-end. Retail deposits, which constituted 80.2% of total customer deposits, grew by 43.5% YoY to Rs 1,64,001 crore.Loans and advances (including credit substitutes) increased by 22% YoY to Rs 2,09,361 crore as of June-end.
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