Share price of this large-cap bank stock moved up by 4.25 percent on BSE to hit an intraday high at Rs. 93.21 on the trading session of Monday, after reporting a rise in the net profit by 10.4 percent QoQ and 56.2 percent YoY.
With a market capitalisation of Rs. 95,158.8 lakh crore, the stock has delivered positive returns of nearly 66.1 percent in the last one year and around 42.13 percent in the last six months. So far in 2024, the company has given about 31.13 percent of positive returns.
The fluctuations in the share prices were observed after IDBI Bank Limited announced the financial results for Q4 FY23-24 and FY24, through the recent filings with the stock exchanges.
From Rs. 6,549 crore in Q3 FY23-24 to Rs. 6,994.7 crore in Q4 FY23-24, revenue from operations expanded by 6.8 percent QoQ and by 28.4 percent YoY from Rs. 20,591.5 crore in FY22-23 to Rs. 26,445.66 crore in FY23-24.
The consolidated net profit of the company improved by 56.2 percent YoY to Rs. 5,788.11 crore in FY23-24 from Rs. 3,706.06 crore in FY22-23, while on a quarter-on-quarter basis, the PAT grew by 10.4 percent from Rs. 1,508.53 crore in Q3 FY23-24 to Rs. 1,664.92 crore in Q4 FY23-24.
For FY23-24, the Return on Assets or ROA stood at 1.65 percent YoY with a growth of 45 bps, while for Q4 FY23-24 it improved by 39 bps to 1.82 percent, as compared to 1.43 percent for Q4 FY22-23. Return on Equity (ROE) stood at 19.5 percent YoY with a growth of 335 bps.
The Return on Assets, or ROA, increased by 45 basis points YoY to 1.65 percent for FY23–24; in Q4 FY23–24, it grew by 39 basis points to 1.82 percent, as compared to 1.43 percent for Q4 FY22–23. Return on Equity (ROE) increased by 335 bps to 19.50 percent YoY.
The Current and Savings Account (CASA) increased to Rs. 1,40,027 crore and the CASA ratio stood at 50.43 percent as of March 31, 2024. In contrast, on March 31, 2023, the total CASA ratio was 53.02 percent and the total CASA was Rs. 1,35,455 crore.
The signing of Memorandum of Understanding (MoU) with Honda Cars India Ltd (HCIL) for Inventory Financing with Honda Cars India Ltd (HCIL) is one of the bank’s significant developments. This new alliance will enable IDBI Bank branches to approach over 316 dealers, and outlets of Honda Cars spread across more than 240 cities for inventory financing requirements.
Further, the Board of the company recommended a dividend of Rs. 1.50
per equity share (previously Rs. 1 apiece) of the face value of Rs. 10 each for the financial year ended March 31, 2024, subject to approval of the members at the ensuing Annual General Meeting (AGM).
As of March 2024, FIIs hold 0.45 percent of the shares, whereas DIIs hold 0.15 percent of the shares in the company, aggregating to 0.6 percent of the institutional holdings.
As a full-service universal bank, IDBI Bank Limited serves a variety of customers that includes spanning Retail, Agriculture, MSMEs and Corporates as well as government departments or ministries.
The bank’s offerings comprise a wide range of personalised banking products such as savings account, current account, term deposits, home loan, auto loan, education loan, personal loan, treasury & capital market products, trade finance products & services, cash management services, tax collection, etc.
Written by Shivani Singh
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