IndusInd Bank , one of India's leading private sector banks, has reported a challenging quarter with declining business performance and weakening asset quality. The bank's latest financial results reveal a mixed picture, with some positive surprises amid overall downward trends.

Business Performance

IndusInd Bank experienced a significant decline in its core business metrics for the quarter. The bank's performance can be summarized as follows:

The bank's net advances fell by 8.35% year-on-year to ₹3,27,349 crore, while deposits dropped by 5.48% to ₹3,89,803 crore. Notably, the Current Account Savings Account (CASA) ratio, a key indicator of a bank's ability to gather low-cost deposits, weakened to 30.80% from 35.90% a year earlier.

Financial Performance

Despite the challenging business environment, IndusInd Bank managed to exceed analyst expectations in some key financial metrics:

• Net Profit: Declined by 72% year-on-year to ₹604 crore, but surpassed estimates of ₹525 crore.
• Net Interest Income: Reached ₹4,640 crore, beating expectations of ₹4,207 crore.
• Net Interest Margin: Improved sequentially to 3.46% from 2.25% in the previous quarter.

Asset Quality

The bank's asset quality showed signs of stress:

• Gross Non-Performing Assets (NPAs): Rose to 3.64% from 3.1% in the previous quarter.
• Net NPAs: Increased to 1.12% from 0.95% in the previous quarter.

Market Response

Despite the mixed results, the market response was slightly positive. IndusInd Bank's shares closed at ₹747.55, up 0.52%, indicating that investors may be focusing on the bank's ability to exceed profit expectations in a challenging environment.

Retail and Small Business Focus

As per the bank's disclosure, retail deposits and deposits from small business customers amounted to ₹1,84,157 crore as of 30 September 2025, showing a marginal decrease from ₹1,84,623 crore as of 30 June 2025. This suggests that the bank is maintaining its focus on retail and small business segments, which could be crucial for its stability and growth in the coming quarters.

In conclusion, while IndusInd Bank faces challenges in terms of business growth and asset quality, its ability to exceed profit expectations and maintain a stable retail deposit base could be seen as positive indicators. The bank's performance in the coming quarters will be crucial in determining its trajectory in the competitive Indian banking sector.

Indusind Bank has announced the appointment of Anand Vardhan as its new General Counsel and designated him as Senior Management Personnel, effective September 30, 2025. The decision was approved by the bank's Board of Directors, marking a significant addition to IndusInd Bank's leadership team.

A Seasoned Legal Professional

Anand Vardhan brings a wealth of experience to his new role, boasting an impressive 26-year career in the legal field. Prior to joining IndusInd Bank, Vardhan served as the Group General Counsel at Piramal Group since 2013, where he gained extensive experience in handling various legal matters and complex deals.

Expertise and Track Record

Vardhan's expertise spans several crucial areas of legal practice, including:

• Legal documentation
• Litigation and dispute resolution
• Stressed accounts management
• Legal policies and procedures
• Regulatory compliance
• Strategic partnerships

His proven track record in these areas is expected to be a valuable asset to IndusInd Bank as it navigates the complex legal landscape of the banking sector.

Professional Background

Before his tenure at Piramal Group, Anand Vardhan held several notable positions in the financial and real estate sectors:

• General Counsel at SUN-Apollo Ventures
• Associate VP & Head – Legal at HDFC Property Fund
• Manager - Legal at ICICI Bank
• Legal role at Tata Housing

This diverse experience across different organizations has equipped Vardhan with a comprehensive understanding of legal challenges in various industries.

Educational Background

Anand Vardhan's strong educational foundation complements his professional experience:

• Graduate from Hansraj College
• Law degree from Campus Law Centre, University of Delhi
• Member of the Institute of Company Secretaries of India

Implications for IndusInd Bank

The appointment of Anand Vardhan as General Counsel and Senior Management Personnel signifies IndusInd Bank's commitment to strengthening its legal and compliance framework. His extensive experience and expertise are likely to contribute significantly to the bank's strategic decision-making processes and risk management practices.

As IndusInd Bank continues to grow and navigate the evolving regulatory landscape, Vardhan's appointment is poised to enhance the bank's legal capabilities and corporate governance standards.

The bank's decision to bring on board a legal professional of Vardhan's caliber underscores the increasing importance of robust legal oversight in the banking sector, particularly in areas such as regulatory compliance, dispute resolution, and strategic partnerships.