Indian Bank Soars with 32% Profit Surge Amid Decline in Bad Loans

State-owned Indian Bank reported a 32% increase in net profit for Q4 2024-25, attributed to reduced NPAs and rising core income. Gross NPAs fell to 3.09%. The bank's total income grew to Rs 18,599 crore. For the full year, profits rose 35%. Capital raising plans have been approved.

State-owned Indian Bank announced a remarkable 32% uptick in net profit, reaching Rs 2,956 crore for the March quarter of the fiscal year 2024-25. The profit boost is largely due to a reduction in bad loans and an increase in core income, the bank's regulatory filing revealed.

Interest income soared to Rs 15,856 crore from Rs 14,624 crore, while Net Interest Income (NII) climbed to Rs 6,389 crore, reflecting a strong financial footing. The bank also reported a significant decline in gross Non-Performing Assets (NPAs), now at 3.09% of gross advances, showcasing improved asset quality.

In a strategic move, Indian Bank's board has approved raising up to Rs 7,000 crore through a blend of equity and bond offerings this financial year. Part of this includes Rs 5,000 crore in equity capital, with Rs 2,000 crore designated for Basel III Compliant Bonds, underscoring the bank's expansion aspirations.

(With inputs from agencies.)