New Delhi, Oct 25 – Shares of IndusInd Bank plunged nearly 17% on Friday morning, hitting a 52-week low after the bank reported a 40% decline in net profit for the quarter ending September 2024. The bank’s net profit dropped to ₹1,331 crore, down from ₹2,202 crore in the same quarter last year.
On the BSE, the stock tumbled 16%, reaching a 52-week low of ₹1,073, while on the NSE, it fell by 16.72% to ₹1,066. This sharp decline in share value wiped out ₹15,572.07 crore from the company’s market capitalization, which now stands at ₹84,053.35 crore. IndusInd Bank emerged as the biggest laggard among Sensex and Nifty firms.
Meanwhile, the BSE Sensex was down by 388.99 points at 79,676.17, and the Nifty dropped 163.60 points to 24,244.20.
Despite a rise in total income to ₹14,871 crore during the September 2024 quarter, up from ₹13,530 crore a year earlier, the bank’s asset quality deteriorated. Gross non-performing assets (NPAs) increased to 2.11% of gross advances, compared to 1.93% in the same period last year. Net NPAs also rose to 0.64%, up from 0.57% a year ago, signaling a rise in bad loans.
The disappointing earnings and worsening asset quality led to the steep decline in the bank’s stock price.
