Indian Bank Q4 results: Net profit rises 32% at Rs 2956 crore

Kolkata: State-owned Indian Bank on Saturday reported a 31.6% year-on-year rise in fourth quarter net profit at Rs 2956 crore against Rs 2247 crore in the year ago-period.

Its net interest margin for the quarter stood at 3.37% as compared with 3.44% earlier.

The bank board recommended a dividend of Rs.16.25 per equity share for FY25. This is at the rate of 162.50% of paid up equity capital of the bank. The record date for payment of dividend will be June 10.

The bank's operating profit for the quarter stood 17% higher at Rs 5019 crore as compared with Rs 4305 crore in the year ago period.

Net interest income rose 6% year-on-year at Rs 6389 crore. Other income was 21% higher at Rs 2743 crore.

Its asset quality improved with gross non-performing assets ratio falling 86 basis points to 3.09% at the end of the fiscal year from 3.95% a year back while its provision coverage ratio rose 176 basis points to 98.10%.

The Chennai-headquartered lender's gross advances increased 10% year-on-year to Rs 5.88 lakh crore at the end of FY25, backed by a 13% rise in retail, agriculture and MSME advances, which cumulatively contributed 64.23% to the total portfolio.

Its total deposits rose 7% to Rs 7.37 lakh crore with the ratio of low-cost current and savings account deposit being at 40.17%.

The bank board approved a plan to raise equity capital up to Rs.5000 crore and debt capital up to Rs.2000 crore.