IndusInd Bank Ltd. share price target

Despite higher opex YoY, IndusInd Bank (IIB) reported strong Q1FY24 PAT at Rs21.24bn (up ~32% YoY) driven by strong NII (up 18% YoY) and ~21% YoY dip in provisions. As detailed in our recent sector note (Link), IIB is our preferred pick and the thesis remains intact.

Q4 PAT growth strong at 46% YoY backed by robust business growth that offset lower other income and higher opex

IndusInd Bank (IIB) reported healthy set of numbers with stable NIMs, robust loan growth and strong RoAs though sequentially higher gross slippages and continued run-down in SA balances were key irritants. Bank reported its Q4FY23 PAT at Rs20.4bn, up 50% YoY (4% QoQ), on the back of 13% YoY (2% QoQ) growth in core operating earnings and moderation in credit costs.

In-line; worst of asset quality pain behind