IDFC First Bank posts big loss in Q3FY19



Private sector lender IDFC First Bank Tuesday reported a net loss of Rs 1,538 crore during the December 2018 quarter, due to one-time exceptional charge to its profit and loss account (P&L) for amalgamating Capital First with itself. 


The bank had registered a net profit of Rs 146.11 crore in the corresponding quarter of previous fiscal. 

Sequentially, there was a net loss of Rs 369.69 crore in the second quarter ended September of the current fiscal. 


Total income of IDFC First Bank, previously IDFC Bank, rose to Rs 3,968.40 crore in December quarter of 2018-19, compared with Rs 2,514.51 crore in the corresponding period of 2017-18, it said in a regulatory filing.

Also read- Q3FY19 Results of all Public & Private Sector banks in India 

Under Section 15 of the Banking Regulation Act 1949, banks are restricted from declaring dividend in the event a bank carries intangible assets such as goodwill on its balance sheet, IDFC First Bank said. 

"Therefore, as a prudent measure, intangible assets acquired or arising on amalgamation have been fully amortised through profit and loss account in the quarter and nine months ended December 31, 2018. 


"This accelerated amortisation charge to profit and loss account for the quarter and nine months ended December 31, 2018 of Rs 2,599.35 crore is exceptional in nature and resulted in loss for the quarter ended December 31, 2018," the bank said. 

On the asset front, there was a reduction in bad assets with gross non-performing assets (NPAs) coming down to 1.97 per cent of the gross advances as at the end of December 2018, from 5.62 per cent as against a year ago. In value terms, gross NPAs were Rs 1,670.85 crore, down from Rs 2,776.67 crore. 

Net NPAs were 0.95 per cent (Rs 796.02 crore), against 2.52 per cent (Rs 1,206.28 crore). 

The bank said merger of Capital First and its wholly owned subsidiaries, Capital First Home Finance and Capital First Securities, with IDFC Bank has been approved by the Reserve Bank of India, the Competition Commission of India, the Securities and Exchange Board of India, stock exchanges, the respective shareholders and creditors of each entities. 

The name of IDFC Bank changed to IDFC First Bank with effect from January 12. 
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IDFC Bank gets new name after merger


Private sector lender IDFC Bank said its name has been changed to IDFC First Bank Ltd with effect from Saturday. 


"...the name of the Bank has been changed from IDFC Bank Ltd to 'IDFC First Bank Limited' with effect from January 12, 2019 by virtue of 'Certificate of Incorporation pursuant to change of name' issued by the Registrar of Companies, Chennai," it said in a BSE filing. 


IDFC Bank and non-banking financial company Capital First had announced completion of their merger on December 18, creating a combined loan asset book of Rs 1.03 lakh crore for the merged entity. 

Following the merger, the board of IDFC Bank had approved the appointment of V Vaidyanathan, founder and chairman of Capital First Ltd, as managing director and chief executive officer of the merged entity. 

The combined entity will serve 7.2 million customers through 203 bank branches, 129 ATMs and 454 rural business correspondent centres.
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IDFC Bank posts first net loss in Q2 since debut


Private sector IDFC Bank reported a net loss of Rs 369.69 crore for the September quarter due to higher provisioning even as the bank's bad loans came down.

The bank had posted a net profit of Rs 233.66 crore in the corresponding July-September period of 2017-18.Total income was at Rs 2,453.48 crore for the quarter, up from Rs 2,365.06 crore in the same period of preceding fiscal, the bank said in a regulatory filing.


There was an improvement in bank's asset quality during the September quarter of 2018-19 as the gross non-performing assets (NPAs) came down to 1.63 percent of the gross advances as against 3.92 percent a year ago.

The net NPAs, as a percentage of net loans, also reduced to 0.59 percent as on September 30, 2018 as against 1.61 percent earlier. In absolute terms, the gross NPAs (or bad loans) stood at Rs 894.50 crore as against Rs 2,001.54 crore. Net NPAs were Rs 321.18 crore as compared to Rs 804.99 crore

In spite of NPA ratios falling down substantially, the bank kept a higher provisioning and contingencies of Rs 601.38 crore for the July-September period of the current fiscal. However, there was a write-back of Rs 100.37 crore as provisions and contingencies in the same quarter of 2017-18.


Of the total provisions of nearly Rs 601.38 crore in second quarter, provision of Rs 344.48 crore is due to reclassification as per regulatory provisioning norms, Rs 197.13 crore is provision against investments including mark to market provisions in accordance with RBI guidelines, the bank said.

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IDFC Bank Q1 profit drops 58.5%


IDFCBank posted a 58.5 percent drop in net profit at Rs 181 crore for the first quarter ending June led by a substantial dip in other income and jump in provisions towards bad loans.

Net profit of the new private sector lender for the same period last year was Rs 437.6 crore.
NII or Net interest income, the difference between interest earned on loans and paid on deposits, increased by 26 percent to Rs 490 crore from Rs 388 crore a year ago.

Other income declined by 69 percent to Rs 198.7 crore from Rs 648.8 crore a year ago on account of treasury losses during the quarter.


Asset quality
Provisions towards bad loans rose to Rs 340 crore from a write-back of provisions of Rs 146 crore in the corresponding quarter a year ago.

As a percentage of total loans, gross non-performing asset (NPA) ratio reduced to 1.24 percent as on June end 2018 from 3.31 percent in the March quarter 2018 and sequentially even lower from 4.13 percent in the June quarter last year.

Net NPAs also marginally declined to 1.63 percent of total loans as against 1.69 percent in the March quarter and 1.70 percent in June last year.

In absolute terms, gross NPAs stayed almost flat at Rs 1,774.5 crore from 1,779 crore in the March quarter and Rs 2,000 crore in June 2017, while net NPAs edged down by a mere Rs 10 crore to Rs 881 crore from Rs 891 crore but increased on a sequential basis from Rs 804 crore.

Capital adequacy ratio was significantly higher at 19.25 percent from 18.60 percent in the same quarter a year ago.

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IDFC Bank Q4 result, profit falls 76%

India’s private sector lender IDFC Bank Ltd on Tuesday reported a 76% plunge in its quarterly profit, hurt by a jump in provisions to cover bad loans.
Net profit came in at Rs41.93 crore ($6.3 million), for the quarter ended 31 March, compared with Rs176 crore a year ago, IDFC Bank reported.

Gross bad loans as a percentage of total loans stood at 3.31% at end-March, compared with 5.62% in the preceding quarter and 2.99% a year ago.
Provisions and contingencies surged to Rs242 crore in the quarter, from Rs4.8 crore in the year-earlier quarter. 
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IDFC Bank Q3 result profit falls 24%

IDFC Bank on Friday reported a 23.6% decline in its fiscal third quarter profit due to fall in net interest income (NII), other income and higher other operating expenses.
Net profit fell to Rs146.11 crore for the quarter ended 31 December from Rs191.26 crore a year ago. According to four Bloomberg analysts’ estimates, IDFC was expected to post a net profit of Rs178.80 crore.
NII or the core income a bank earns by giving loans decreased 5% to Rs494.96 crore compared with Rs520.77 crore last year. Other income was at Rs230.79 crore, down 31% from Rs334.20 crore a year ago. Other operating expenses surged 41% to Rs157.73 crore.
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IDFC Bank Q2 net profit falls 40%

IDFC Bank Ltd's second-quarter net profit plunged 39.74 per cent to Rs 233.66 crore on account of lower income and higher expenses.
The company's net profit in the same quarter of the previous fiscal stood at Rs 387.76 crore.
Total income came down by 5.13 percent to Rs 2,365.06 crore for the reported quarter as against Rs 2,493.04 crore in the year-ago period, IDFC Bank said in a BSE filing.
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IDFC Bank Q1 profit jumps 65%

IDFC Bank's first quarter profit grew sharply by 65.3 percent year-on-year to Rs 437.6 crore, driven by other income but asset quality worsened further.

Net interest income, the difference between interest earned and interest expended, fell 22.2 percent to Rs 388 crore compared with year-ago quarter.

Other income (non-interest income) shot up 205 percent to Rs 649 crore and operating profit increased 49 percent to Rs 647.5 crore compared with corresponding quarter of previous fiscal.
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IDFC Bank Q4 result, profit edges up to Rs 176 cr

IDFC Bank today posted a net profit growth of 7 percent at Rs 176 crore for the fourth quarter ended March.The corresponding figure in the previous fiscal read Rs 165.10 crore. Income during the quarter grew by a marginal 1 percent to Rs 558.40 crore, as against Rs 554.50 crore.

For the whole of 2016-17, profit came in at Rs 1,020 crore, marking completion of its first full year of operations.Operating income stood at Rs 3,030.40 crore for the fiscal ended March 2017, it said in a release.The bank had started off in October 2015. So, the year-on-year comparable figure has been annualised.
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IDFC Bank Q3 result, Profit falls 21% to Rs 191 cr

Private lender IDFC Bank  today reported a 21 percent fall in net profit at Rs 191.26 crore for the December quarter on account of rise in bad loans. 


The bank had earned a net profit of Rs 242.16 crore during the same quarter of the previous fiscal, IDFC Bank said in statement. However, total income of the bank rose to Rs 2,585.9 crore from Rs 2,007 crore in the year-ago period. 



Its portfolio quality deteriorated with gross non-performing assets (NPAs) rising to 7.03 percent of gross advances as against 3.09 percent in the same quarter of the previous fiscal. 



The bank's net non-performing assets also jumped to 2.57 percent, from the earlier 0.98 percent. As a result, provisions and contingencies other than tax of the bank rose nearly 19-fold to Rs 231.75 crore during the quarter as compared to Rs 12.29 crore in the same quarter a year ago.
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IDFC Bank Q1 Result, Profit rises 60% to Rs 264.76 crore

IDFC Bank Ltd said its fiscal first quarter profit rose 60% to Rs.264.76 crore from Rs.165.06 crore in the preceding March quarter.


The earnings can’t be compared with the previous year as IDFC Bank started operations in October.
IDFC Bank and Bandhan Bank had received in-principle approvals from the Reserve Bank of India in 2014 to start universal banks.
IDFC Bank’s total income increased 12% to Rs.2188.28 crore from the preceding quarter ended 31 March. Net interest income stood at Rs.515.2 crore for the April-June quarter, a rise of 25% from the March quarter.
Total credit grew 7% to Rs.57,470 crore as on 30 June from the preceding quarter. Deposits rose 59% to Rs.13,029 crore from the March quarter.
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IDFC Bank Q4 net falls 32% QoQ to Rs 165 cr, NPA surges

IDFC Bank reported weaker-than-estimated January-March quarter performance on Wednesday with net profit declining close to 32 percent quarter-on-quarter (QoQ) to Rs 165 crore from Rs 242 crore.  

IDFC Bank is a subsidiary of infrastructure finance company IDFC   Ltd, which started banking operations in October 2015. 

Data for year-on-year (YoY) comparison is, therefore, unavailable. Gross non-performing assets (GNPA) jumped over 300 basis points QoQ to 6.16 percent in the fourth quarter from 3.09 percent. 

Net NPA increased to 2.39 percent from 0.98 percent in the third quarter. The increase in NPA was largely on account of high exposure to infrastructure and telecom sectors with part of the old IDFC loans that came to the bank.   

Sunil Kakar, chief financial officer of the bank, however, clarified in a briefing that the surge in NPA does not impact the Profit and Loss account as these loans had already been provided for.  "We have ring-fenced our assets via provisions. 

Increase in the NPA number does not signal deterioration in the asset quality," he said, adding, overall size and volume of stressed assets has not grown. 
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IDFC Q3 Net Profit Slides 58%


IDFC Bank Ltd on Saturday registered a 58.2 per cent fall in consolidated net profit at Rs 176 crore for the fiscal third quarter that ended in December,on the back of the demerger of its financial undertaking into IDFC Bank.

The company had posted a net profit stood of Rs 421.6 crore for the corresponding quarter a year ago.

"Total income is Rs 2,172.4 crore for the quarter ended December 2015 whereas the same was Rs 2,462.1 crore for the quarter ended December 2014," it said in a filing to the BSE.

IDFC said that pursuant to the demerger, the result of the December quarter of the current fiscal year was not comparable with previous ones.

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