Indian Bank's profit surged 32% to Rs 2,956 crore in the fourth quarter, with core revenue rising

State-owned Indian Bank reported on Saturday (May 3, 2025) that net profit increased by 32% in the 2024-25 quarter, which was helped by the decline in non-performing loans and the increase in core revenue. |Photo source: Aman Raj

State-owned Indian Bank reported on Saturday (May 3, 2025) that net profit increased by 32% in the 2024-25 quarter, which was helped by the decline in non-performing loans and the increase in core revenue.

Chennai-based lenders made a net profit of Rs 22.4 crore in the same period last year.

In a regulatory filing, the bank's total revenue increased to Rs 185,999 crore in the quarter from Rs 16,888.7 crore a year ago.

Interest income increased from Rs 146.24 crore to Rs 158.56 crore in the fourth quarter of the previous fiscal year. Net interest income (NII) for the quarter also rose to Rs 63.89 crore from Rs 6,015 crore in the same period a year ago.

In terms of asset quality, the bank's total non-performing assets (NPA) accounted for 3.09% of the total, while by the end of March 2024, the bank's total assets were 3.09%.

Similarly, net NPA fell to 0.19% of the net increase above 0.43% at the end of 2024.

As of March 31, 2025, the bank's coverage rate rose to 96.34% from the end of the previous year.

The bank's capital adequacy ratio rose to 17.94% from 16.44% at the end of fiscal 24.

The bank's profits rose 35% to Rs 10,918 crore throughout the fiscal year 2024-25, while profits rose 80,63 crore in the previous year.

The bank's total revenue in the fiscal year rose by Rs 712,26 crore, compared with Rs 634,82 crore a year ago.

NII rose to Rs 25,176 crore from Rs 232,74 crore in the previous year. The net interest margin for the year ended March 2025 was 3.51%.

The bank's board of directors recommends approving shareholders' dividends of 2024-25 for a face value of 10 rupees per share of 2024-25.

The board also approved the raising of up to Rs 70,000 crore through a mix of equity and bonds in the ongoing fiscal year. Among them, banks have approved the raising of up to Rs 50,000 crore of equity total (including premiums) through QIP or rights issues or mergers.

Furthermore, it recommends raising up to Rs 20 billion by issuing Basel III-compliant AT-1 Permanent Bond/Section 2 Bond in one or more shares in the current or subsequent financial year as required.