Bandhan Bank released its strong Q2 FY25 performance, with a 30 per cent year-on-year (YoY) growth in standalone net profit, reaching Rs 937.44 crore. Total income for the quarter surged by 21.11 per cent, amounting to Rs 6,094.53 crore, compared to Q2 FY24.
Operating profit also saw a significant increase, rising 17 per cent to Rs 1,855 crore in Q2 FY25, up from Rs 1,583 crore in the same quarter last year. Net interest income (NII) climbed 21 per cent YoY to Rs 2,948 crore, and the bank’s net interest margin (NIM) improved to 7.4 per cent, compared to 7.2 per cent in Q2 FY24.
Bandhan Bank’s asset quality continued to improve, with gross non-performing assets (GNPA) reducing to 4.7 per cent from 7.3 per cent in Q2 FY24, while net NPA dropped to 1.3 per cent from 2.3 per cent. Provision coverage ratio stood at 73.5 per cent as of September 30, 2024. The bank also reduced provisions and contingencies by 4.7 per cent YoY to Rs 606 crore.
Other key financial metrics demonstrated robust growth. Total deposits rose by 27 per cent to Rs 1.43 lakh crore, with CASA deposits at Rs 47,283 crore, maintaining a CASA ratio of 33.2 per cent. Gross advances grew by 21 per cent YoY, totaling Rs 1.31 lakh crore. Retail lending (excluding housing) increased by 92 per cent, while commercial banking grew by 40 per cent, emerging entrepreneurs by 11 per cent, and housing (excluding IBPC) by 17 per cent.
Bandhan Bank’s capital adequacy ratio as of June 30, 2024, stood at 15.6 per cent, above the regulatory requirement of 11.5 per cent. The bank expanded its reach with nearly 6,300 outlets and added 7 lakh new customers during the quarter, bringing its customer base to over 3.5 crore.
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Reflecting on the bank’s achievements, Ratan Kumar Kesh, MD & CEO, said, “Bandhan Bank‘s strong performance in the second quarter reflects the momentum in quality growth with our focus on effective risk management and compliance. Our success is anchored in the trust of our customers and the dedication of our employees. By focusing on innovation in technology, refining our processes, and enhancing products and people capabilities, we are well-positioned to drive the next phase of growth for Bandhan Bank 2.0.”
