Archive · 24 Jan 2026
IndusInd Bank Reports 90% Profit Drop
IndusInd Bank, a private bank in India, recently announced that its profit for the last three months of 2025 was much lower than the previous year, dropping by 90%.
This means they made much less money.
The bank's total income also decreased by 13.7%, and they had to spend more on provisions, which are like savings for unexpected problems.
The bank's loans and deposits also went down.
However, the quality of their loans improved a bit, and they are working to reduce the stress in their micro-loan book.
The bank aims to grow and improve its return on assets over the next year and a half.
IndusInd Bank reported a 90% year-on-year decline in net profit to Rs 127.98 crore for the December quarter.
Total income decreased by 13.7% to Rs 13,080 crore, with an additional impact of Rs 228.96 crore under 'employees cost' due to the New Labour Code.
Net interest income declined by 13% to Rs 4,562 crore, while net interest margin increased to 3.52% from 3.32% in the previous quarter.
Provisions increased by 20% to Rs 2,095 crore, with the bank expecting an impact of 1.3-1.7% of the loan book from the new ECL framework.
Advances and deposits declined by 13% and 4% respectively, with the bank aiming to grow in line with the market in FY27 and deliver 1% ROA over the next 12-18 months.
- Who
- IndusInd Bank
- What
- Reported a 90% decline in net profit for the December quarter
- When
- December quarter (specific date not mentioned)
- Where
- India
- Why
- Structural headwinds, increased provisions, and decline in advances and deposits
- Net Profit
- Rs 127.98 crore (90% decline YoY)
- Total Income
- Rs 13,080 crore (13.7% decline YoY)
- Net Interest Income
- Rs 4,562 crore (13% decline YoY)
- Net Interest Margin
- 3.52% (up from 3.32% previous quarter)
- Provisions
- Rs 2,095 crore (20% increase YoY)
- Advances
- Rs 3.18 lakh crore (13% decline YoY)
- Deposits
- Rs 3.94 lakh crore (4% decline YoY)
- Gross NPA Ratio
- 3.56% (down from 3.60% previous quarter)
- Net NPA Ratio
- 1.04% (stable)
- Expected ROA
- 1% over next 12-18 months
Sources
IndusInd Bank says Chair Sunil Mehta to step down at end of term
IndusInd Bank appoints ex-SBI MD Arijit Basu as part-time Chairman as Sunil Mehta steps down
Who is Arijit Basu? IndusInd names ex-SBI MD as Chairman after Sunil Mehta steps down
IndusInd Bank Q3 profit plunges 91% YoY to Rs 128 crore, provisions fall sequentially
IndusInd Bank returns back to black in Q3 with ₹128 crore PAT
Who is Arijit Basu? IndusInd Bank appoints SBI ex-MD as chairman
IndusInd Bank bets on small loans and retail deposits for recovery
IndusInd Bank net profit slumps 90%
