IndusInd Bank Reports Decline in Advances and Deposits
IndusInd Bank's latest financial update shows a decline in both advances and deposits. Net advances decreased by 3.00% quarter-on-quarter to ₹3.34 lakh crore, while deposits fell by 3.30%. The CASA ratio declined to 31.49%, and Corporate Banking advances dropped significantly by 6.20% quarter-on-quarter. However, the credit-deposit ratio remained stable at 84.20%. The bank's total assets decreased by 3.90% year-on-year, but current assets saw a substantial increase of 460.16%. Investments grew by 7.48%, indicating strategic resource allocation.

*this image is generated using AI for illustrative purposes only.
IndusInd Bank , one of India's leading private sector banks, has reported a decline in both advances and deposits, according to the bank's latest financial update.
Key Highlights
- Net advances decreased by 3.00% quarter-on-quarter to ₹3.34 lakh crore
- Deposits fell by 3.30% quarter-on-quarter
- CASA ratio declined to 31.49%
- Corporate Banking advances experienced a significant drop of 6.20% quarter-on-quarter
- Credit-deposit ratio remained stable at 84.20%
Segment-wise Performance
The bank's performance varied across different segments. The Corporate Banking sector faced challenges with a substantial 6.20% quarter-on-quarter decline in advances. The performance of other segments was not explicitly mentioned in the update.
Balance Sheet Overview
A closer look at IndusInd Bank's balance sheet reveals some interesting trends:
Metric | Current Year | 1 Year Ago | Change |
---|---|---|---|
Total Assets | ₹494,852.70 crore | ₹514,935.00 crore | -3.90% |
Current Assets | ₹345,018.60 crore | ₹61,593.10 crore | 460.16% |
Investments | ₹114,496.80 crore | ₹106,526.70 crore | 7.48% |
Total Equity | ₹64,349.70 crore | ₹62,797.10 crore | 2.47% |
The bank's total assets have seen a slight decrease of 3.90% compared to the previous year. However, there has been a significant increase in current assets, rising by 460.16% year-on-year. Investments have also grown by 7.48%, indicating the bank's strategic allocation of resources.
CASA Ratio and Deposit Mix
The Current Account Savings Account (CASA) ratio, an important indicator of a bank's low-cost deposits, has declined to 31.49%. This decrease suggests a shift in the deposit mix, potentially impacting the bank's cost of funds.
Analyst Perspectives
Morgan Stanley has maintained an 'Underweight' rating on IndusInd Bank, while Jefferies has issued a 'Buy' recommendation. These differing views highlight the complex nature of the bank's current financial position and future prospects.
Outlook
While the overall advances and deposits have shown a decline, the stable credit-deposit ratio at 84.20% indicates that the bank is maintaining a balanced approach to lending and deposit-taking activities.
As time progresses, it will be crucial to monitor how IndusInd Bank addresses the challenges in its Corporate Banking segment and manages its overall portfolio to drive growth and profitability in the competitive banking sector.
Historical Stock Returns for Indusind Bank
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
---|---|---|---|---|---|
+0.47% | -1.35% | +2.83% | -12.54% | -40.18% | +63.46% |