Indian Bank Share Price in Focus After Posting A 32% Jump in Q4 Profit

Indian Bank share price was up 2.93% and was trading at ₹574.45 at 10:15 AM. The government-owned lender based in Chennai has reported a 32% rise in net profit for the January–March 2025 quarter.

The bank earned ₹2,956 crore in profit, up from ₹2,247 crore in the same quarter last year. This growth was mainly due to a decline in bad loans and higher core income.

Income Growth of Indian Bank

The bank’s total income increased to ₹18,599 crore, compared to ₹16,887 crore in the previous year’s March quarter. Interest income also rose to ₹15,856 crore, from ₹14,624 crore last year. The Net Interest Income (NII) stood at ₹6,389 crore, up from ₹6,015 crore.

Improved Asset Quality

Indian Bank improved its asset quality during the quarter. The Gross Non-Performing Assets (NPAs) dropped to 3.09% from 3.95% last year. The Net NPAs fell to 0.19%, down from 0.43%. The Provision Coverage Ratio (PCR) — the percentage of funds set aside to cover bad loans — rose to 98.10% from 96.34%.

Strong Annual Performance

For the full financial year 2024–25, the bank posted a 35% increase in net profit, earning ₹10,918 crore compared to ₹8,063 crore last year. Total income for the year rose to ₹71,226 crore, while NII increased to ₹25,176 crore. The Net Interest Margin (NIM) stood at 3.51%.

Dividend on Indian Bank Share

The bank’s capital adequacy ratio improved to 17.94%, up from 16.44%. The board recommended a dividend of 16.25 paise per equity share (face value ₹10), subject to shareholder approval.

Fundraising Plans

To support growth, the bank plans to raise up to ₹7,000 crore this financial year. This includes ₹5,000 crore in equity (via QIP, rights issue, or both) and ₹2,000 crore through bonds, including Basel III compliant options.

Conclusion

Indian Bank has shown strong financial growth with improved profits, reduced bad loans, and solid future fundraising plans, setting a positive tone for the year ahead.

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