IndusInd Bank reported its Q2 FY26 financial results, showing a mixed performance. While loans reached ₹3,25,881 crs and deposits hit ₹3,89,600 crs, net profit was a negative ₹(437) crs. The bank continues to focus on digital strategies and maintaining a strong capital adequacy ratio of 17.10%. Key metrics include a net interest margin of 3.32% and a cost-to-income ratio of 66.22%.
Q2 FY26 Financial Highlights
IndusInd Bank’s financial performance for Q2 FY26 presents a mixed bag of results. Loans reached ₹3,25,881 crs, and deposits amounted to ₹3,89,600 crs. However, the bank reported a net loss of ₹(437) crs for the quarter.
Key Financial Figures
Here’s a breakdown of essential financial indicators:
- Net Interest Income: ₹4,409 crs
- Total Other Income: ₹1,651 crs
- Revenue: ₹6,060 crs
- Operating Profit: ₹2,047 crs
- Net Interest Margin: 3.32%
- Return on Assets: (0.33)%
- Return on Equity: (2.68)%
- Cost to Income: 66.22%
- Net NPA: 1.04%
Balance Sheet Overview
The bank’s balance sheet showcases the following:
- Total Assets: ₹5,27,490 crs
- CASA Deposits: ₹1,19,771 crs
- Term Deposits: ₹2,69,829 crs
- CRAR: 17.10%
Strategic Focus
IndusInd Bank is concentrating on several key strategies:
- Expanding branch network.
- Focusing on target market segments.
- Driving growth through retail customer acquisitions.
- Scaling up sub-scale businesses, including Affluent and NRI services.
- Leveraging BFIL for rural customer outreach.
- Building a Merchant Acquiring Business.
- Developing Digital Partnerships & Alliances.
- Exploring Community Banking Approaches for select segments.
- Implementing innovative service propositions.
- Executing Digital 2.0 initiatives with both Individual and SME focuses.
Loan Book Diversification
The bank’s loan book is well-diversified across consumer and corporate products. Key segments include:
- Vehicle Finance (29%)
- Micro Finance (7%)
- Corporate Banking (40%)
- Consumer Banking (60%)
Asset Quality
IndusInd Bank maintains a focus on asset quality, with a commitment to conservative provisioning. As of Q2 FY26:
- Gross NPA: 3.60%
- Net NPA: 1.04%
- Provision Coverage Ratio (PCR): 72%
Digital Initiatives
The bank continues to advance its digital capabilities with initiatives such as:
- INDIE app for individual clients.
- INDIE for Business app for MSME clients.
Source: BSE