A recent press report said that the net profit of IndusIndBank has increased by 45 percent from Rs.133 crore to 193 crore for the July-September quarter this year.
Reports said that the increase in profit was due to the healthy rise in both net interest income and other income. Mr. Romesh Sobti, Managing Director, IndusInd Bank said that the operating environment of the bank in the second quarter was challenging due to the prolonged inflation cycle, tight liquidity cycle and interest rate cycle.
He said that the decline in margins was lesser than expected and said that the pressure on margins would continue as there are no chances for the fall in the interest rate front.
Reports said that the loan book of the bank has a larger share of the higher yielding consumer finance loans, where the yields are more than 16 per cent. It said that the share of consumer finance in the total advances has increased to 47 per cent from 42 per cent last year. It said that the second-hand commercial vehicle segment has occupied 10 per cent of the total commercial vehicle book. The bank also offers home loan, personal loan, construction equipment loan, loan against shares etc.