Axis Bank Ltd. share price target

The bank has showed acceleration in the business growth driven by improved loan growth of 9%. On deposits front, the bank has showed steady growth in stable and granular retail deposits. On QAB basis, CASA ratio stood at 42%, up 320 bps YOY and 39 bps QOQ The bank is well capitalized with adequate liquidity buffers. Overall capital adequacy ratio (CAR)...

Continuing to tick all the right boxes

4QFY21 marks the manifestation of sequentially lower provisioning expenses (32.9bn v/s 46.0bn in the previous quarter) and surge in net profit to 26.8bn against 11.1bn in the previous quarter. As the asset classification resumes, the bank's reported slippages number remains low (52.9bn v/s 79.9bn pro-forma slippages in 3QFY21) with GNPA and NNPA ratio declined to 3.70% and 1.05% respectively against the Pro-forma GNPA and NNPA ratio of 4.55% and 1.19% in the previous quarter. The bank's PCR (including TWO) has seen further improvement to 88% v/s 87% in the previous quarter. Moreover the resolution rate (98%) stood better than pre-COVID level. Furthermore, the BB & below book inched down sequentially by 28bps to 1.09% of customer...

Axis bank earnings of Rs26.8bn (PLe: Rs19.6bn) saw a strong beat on back of better than expected other income and lower provisioning. PPOP grew by 17%, although core PPOP grew by 9% YoY as NII growth looked slightly weaker with growth of 11% YoY which was lower than 16% of FY21. Headline asset quality was better due to better recovery/upgrades & higher write -off of Rs55.3bn (89bps of loans). Bank has maintained PCR of 72% and 80bps of COVID provisions over and above regulatory specific provisions on non NPAs. With legacy NPAs provided for, better growth and initiatives are...

Asset quality performance improved as GNPA, NNPA ratio declined to 3.7%, 1.05% from 4.55% (proforma) and 1.19% (proforma) QoQ, respectively. Slippages declined from | 7993 crore (proforma) to | 5285 crore QoQ while write-offs for the quarter remained elevated at | 5553 crore. The bank did not sell any NPAs to ARC during the quarter. Restructured book under Covid19 framework was at 0.3% of gross customer assets and has 26% provisions against the same. The bank has | 5012 crore worth provisions against potential impact of Covid-19, of which | 1882 crores, represents prudent provision above regulatory requirement and balance | 3130 crore is...

Axis Bank' asset quality improved (surprised positively) sequentially with GNPA declined to 3.7% vs 4.55% QoQ (as per IRAC norms) led by higher write offs (Rs.55.5bn vs 42.6bn QoQ) and decline in slippage ratio (3.4% vs 5.5% QoQ). BB & below book declined by 10% QoQ and restructured assets stood at 0.3% of customer assets as against earlier estimates of 1.7% are key positives during the quarter. PAT grew by 140% QoQ (vs loss of Rs.13.9bn YoY) led by lower provisions (down 28% QoQ). NII grew by 11% YoY led by slight improvement in NIMs at 3.56% (3.55% YoY). PPoP grew by 17% YoY (up 13% QoQ) led by decline in cost to income ratio (44% vs 46% YoY). With management change behind, strong capital in place and focus on secured retail portfolio,...

Axis Bank (AXSB) delivered strong Q4FY21 PAT of Rs 27bn (+2.4x QoQ) on 17% YoY growth in operating profit.

Preferred Prudence to Profitability: Axis Bank (AXSB) s Q3FY21 performance was on the down side as the bankpreferred prudence to profitability.

Lower cost of funds drive Net interest income Axis Bank offers a wide range of banking services in India that includes cash and credit management services, retail banking, investment...

impacted by prudent expense and provisioning charges to the extent of Rs 1050 crore. The bank has posted 14% growth in the Net Interest Income (NII), while NII before interest reversal has moved up 19%. Reported NIM stood at 3.59% for Q3FY21, while NIM before interest reversal was higher at 3.89%. The fee income grew 5% yoy and 6% qoq with retail fee contributing 64% of overall fees. On deposits front, the bank has showed steady growth in stable and granular retail deposits. On QAB basis, CASA plus Retail term deposits grew 16% yoy. CASA ratio at 42%, improved 232 bps...