A recent press report said that IndusInd Bank has posted a 52 per cent rise in net profit for the first quarter ended June 30, 2011. Net profit grew to Rs 180 crore, from Rs 118 crore in the corresponding quarter last year.
Mr. Romesh Sobti, Managing Director and CEO, IndusInd Bank, said that the bank has recorded an increase in all components of fee income such as trade, forex, third party products and investment banking.
Reports said that the bank has managed to protect its net interest margin by increasing the cost of deposits; it also increased its borrowings from sources other than deposits like overseas borrowing, refinance, and RBI’s repo window, in order to keep credit costs under check. The bank’s consumer finance book grew by 41 per cent and corporate book grew by 28 per cent.
Mr. Sobti said there is a demand for working capital loans and the bank expects loan growth of 25-30 per cent. He also said that the quality of the bank’s loan book was stable and that there is no stress in any of the loan portfolios. The loan portfolio of the bank includes home loan, personal loan, construction equipment loan, loan against shares etc.