IDFC Bank declares strong Q1FY17 results

On July 26 stock price of IDFC Bank has risen by 7 per cent after disclosure of the strong Q1FY17 results. The stock hit the day's high of Rs 55.5. Total operating revenue has grown by 12.03 per cent to Rs 2188 crore in Q1FY17 as compared to previous quarter. Whereas operating profit before contingencies and provisions is up by 67.23 per cent to Rs 434 crore; and the provisions and contingencies have increased by almost 100 per cent to Rs 23 crore. Whereas the PAT has grown by 60 per cent to Rs 264 crore in Q1FY17 as compared to Q4FY16.

In Q1FY17 the Gross Non performing Assets (GNPA) of the Bank stand at Rs 3029 crore or 6.09 per cent of the total gross advances, whereas it was Rs 3058 crore or 6.16 per cent of the total gross advances in Q4FY16. The Non Performing Assets (NPA) is Rs 1110 crore or 2.32 per cent of net advances in Q1FY17, from Rs 1139 crore or 2.39 per cent of net advances in Q4FY16.

The Bank is broadly into three segments i.e. treasury, wholesale banking and retail banking. The treasury business contributes to 54 per cent of the total revenue, whereas wholesale banking and retail banking contribute 44 per cent and 0.58 per cent respectively. IDFC Bank is an India-based company engaged in banking services.

The Company focuses on three business verticals: Wholesale Bank, Retail Bank and Rural Bank. Its Personal Banking solutions include Savings Account, Fixed Deposit, Recurring Deposit Account and Debit Card. Its Business Banking offerings include Current Account, Trade and Forex Services, Cash Management Services, Business Debit Card and Fixed Deposit. IDFC Bank provides Commercial and Wholesale Banking solutions to corporates, multi-national companies (MNCs), small and medium-sized enterprises (SMEs), government and financial institutions.