Au Small Finance Bank announced Q1FY24 results: Net profit grows by 44% YoY to Rs 387 crore; Advances grow by 29% YoY and Deposits grow 27% YoY; RoA and RoE stood at 1.7% and 13.8% respectively Net Interest Income (NII) grew 28% YoY to Rs 1,246 crore compared to Rs 976 crore during Q1FY23. Net Interest Margin (NIM) for Q1FY24 stood at 5.7% compared to 5.9% in Q1FY23 Bank acquired 3.75 lakh customers in Q1FY24 of which 45% was via digital products and channels Total Credit cards reached 6.1 lakhs whereas deposits sourced via Video Banking crosses Rs 1,300 crore Pre-provisioning Operating profit up 39% YoY to Rs 546 crore Gross advances up by 29% YoY to Rs 63,635 crore Total deposits up by 27% YoY to Rs 69,315 crore; CASA ratio stands at 35% while CASA+ Retail Term Deposit stood at 68% Total Capital Adequacy Ratio was 21.5% and Tier-1 ratio was 19.9%, excluding profits for Q1FY24 GNPA% at 1.76% decreased by 20 basis points YoY, NNPA% at 0.55% Provision coverage ratio stands at 73%; Bank is carrying additional provisions of Rs 128 crore against contingency and against standard restructured assets Opened 11 new physical touchpoints taking total touchpoints to 1,038 across 21 states and 3 UTs Commenting on the performance, Sanjay Agarwal, MD & CEO, AU Small Finance Bank said, “The first quarter of FY24 saw improved macro environment with moderating inflation, narrowing current account deficit and rising foreign exchange reserves. The rural economy also continued to recover and the monsoon is likely to support the credit demand in rural and semi-urban areas. I am quite optimistic about the Indian economy and the banking sector looks poised for sustained period of growth. Amidst this macro backdrop, AU SFB delivered another quarter of consistent performance across parameters with sustainable growth in our assets, deposits and profitability despite some impact on our margins due to deposit repricing and negative carry from excess liquidity buffers. The strong performance in this quarter is a testimony to our highly competent and empowered team and our business model which allows us to capture customer imagination, which in turn allows us to service our customers in an innovative manner. Like every other quarter, we have continued to strive to improve the digital adoption by our customers and 45% of our new customer acquisition has been via digital products and channels like ‘AU 0101', which is among the top-rated banking apps in the country. Going forward, we will continue to focus on sustainable growth, aiming to improve our balance sheet size while penetrating deeper into rural India, where a significant unbanked population resides.” Result PDF