IndusInd Bank shares Q4 update; here's how deposits, advances growth looked like

Shares of IndusInd Bank Ltd, which have fallen 49 per cent in the past six months, are in focus on Monday as the private lender in a fresh update to stock exchanges said its deposits grew 0.4 per cent in the March quarter on a sequential basis. Net advances declined 5.2 per cent quarter-on-quarter (QoQ) for the same period, the bank said.

IndusInd Bank said its net advances stood at Rs 3,43,298 crore as on March 31 compared with Rs 3,66,889 crore as of December 31, 2024. On yearly basis, advances grew 1.4 per cent. Deposits for the quarter stood at Rs 3,84,793 crore as on March 31 compared with Rs 4,09,554 crore as of December 31, 2024. On yearly basis, deposits were up 6.8 per cent.

The bank said its  net advances for corporate banking de-grew 4.9 per cent YoY and 15.1 per cent QoQ. Consumer businesses growth was at 6.3 per cent YoY and 3.4 per cent QoQ.

"Retail deposits and deposits from small business customers amounted to Rs 1,85,180 crore as of March 31, 2025 as compared to Rs 1,88,730 crores as of December 31, 2024. The daily average LCR for Q4FY25 was at 118.4% and 136.2% as at March 31, 2025," the bank said.

IndusInd Bank said its CASA Ratio improved to 37.9 per cent in the March quarter against 34.9 per cent in December and 32.8 per cent in the March quarter of last year.

IndusInd Bank recently estimated the potential impact of accounting discrepancies in its derivatives portfolio at 2.35 per cent, which is expected to be absorbed through the profit and loss account, with a possible restatement of Net Interest Income (NII) currently under review.

UBS last week retained its 'Sell' call on the private lender, slashing its target price by 22 per cent to Rs 600 from Rs 770 earlier.

It highlighted many factors that could contribute to the further de-rating of IndusInd Bank. The key concerns included deposit flows, the appointment of a new CEO, and the external auditor's report findings, which the brokerage viewed as crucial indicators of the bank’s future performance.