IndusInd Bank reported a consolidated net profit of ₹1,037 crore for Q1 FY27, up 72% from ₹604 crore in the same quarter last year.
Net Interest Income (NII), the core measure of lending profitability, grew just 1% to ₹4,685 crore—effectively flat year-on-year.
Asset quality improved: Gross NPAs fell to 3.25% from 3.43% sequentially, while Net NPAs improved to 0.95%.
The profit jump was driven primarily by lower credit provisions. With asset quality stabilizing and write-offs moderating, the bank set aside significantly less capital for bad loans compared to a year ago.
Core interest margins remain under pressure amid elevated deposit costs, a challenge shared by many private lenders. The bottom-line expansion this quarter came from balance-sheet cleanup rather than aggressive lending growth.
