Shares of IDFC First Bank gained over 6 per cent today after the lender reported its highest ever net profit for the quarter ended June 2022 led by lower provisioning and higher income.
IDFC First Bank shares opened with a gain of 4.93 per cent at Rs 39.40 today. Stock of IDFC First Bank rose 6.52 per cent intraday to Rs 40 against the previous close of Rs 37.55 on BSE. IDFC First Bank stock trades higher than 5-day, 20-day, 50-day and 100-day moving averages but lower than 200-day moving averages.
The banking stock fell 23.65 per cent in a year and lost 18 per cent in 2022 . However. in a month, the share has gained 22.72 per cent.
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Total 23.78 lakh shares of the firm changed hands amounting to a turnover of Rs 9.30 crore. Market cap of the firm rose to Rs 24,752 crore on BSE.
The bank logged its highest ever net profit of Rs 474 crore in Q1, against a net loss of Rs 630 crore in the year-ago quarter. Sequentially, net profit climbed 38.2 per cent from Rs 343 crore in the March 2022 quarter.
Total income in Q1 rose to Rs 5,777.35 crore against Rs 4,931.76 crore in the corresponding period of 2021-22. The core interest income rose 20.4 per cent to Rs 4,921.68 crore compared to Rs 4,089.29 crore. Income from other sources climbed 1.6 per cent to Rs 855.67 crore in Q1 from Rs 842.47 crore in the corresponding quarter of previous fiscal.
The lender's asset quality improved in Q1 as the gross non-performing assets (NPAs) fell to 3.36 per cent of the gross advances against 4.61 per cent a year ago.
In absolute value, gross NPAs (or bad loans) fell to Rs 4,354.75 crore in Q1 from Rs 4,669.13 crore in the June quarter of previous fiscal. Net NPAs too declined to Rs 1,653.82 crore (1.30 per cent) in Q1 from Rs 2,293.18 crore (2.32 per cent) in the year-ago period.