IndusInd Bank Q2 FY27 Results (NSE: INDUSINDBK)
Signal: Loss reversed
The read
The key inflection is a second consecutive profitable quarter: PAT rose to ₹124,179 lakh from a ₹436,941 lakh loss YoY and ₹103,702 lakh QoQ, while pre-provision operating profit increased 40.4% YoY to ₹287,435 lakh; however, total income fell 11.4% QoQ and provisions of ₹122,263 lakh remain the constraint on durable earnings normalization.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹11,608.63 Cr | -0.1% | -11.4% |
| EBIT | ₹2,874.35 Cr | +40.4% | |
| Net profit | ₹1,241.79 Cr | +384.2% | |
| EPS | ₹15.93 | +384.0% | |
| EBIT margin | 0 |
P&L walk
Total income was ₹1,160,863 lakh, down 0.1% YoY and 11.4% QoQ; operating profit rose 40.4% YoY to ₹287,435 lakh, provisions remained material, and PAT recovered to ₹124,179 lakh from a ₹436,941 lakh loss a year ago.
Segments
Retail Banking was the principal earnings contributor at ₹165,771 lakh of segment result, ahead of Corporate / Wholesale Banking at ₹55,668 lakh and Treasury Operations at ₹11,596 lakh; the group also carries material subsidiary and unallocated-cost effects in consolidated earnings.
Key positives
- Pre-provision operating profit rose 40.4% YoY to ₹287,435 lakh and 3.6% QoQ despite total income declining 0.1% YoY.
- PAT recovered to ₹124,179 lakh from a ₹436,941 lakh loss YoY and increased 19.7% QoQ.
- Advances grew 14.9% YoY to ₹36,310,434 lakh, ahead of 10.1% YoY deposit growth to ₹42,883,190 lakh.
- EPS recovered to ₹15.93 from ₹(5.61) YoY, with no material PAT-to-EPS divergence indicated.
Key concerns
- Total income declined 11.4% QoQ to ₹1,160,863 lakh, so the recovery remains more dependent on operating conversion and lower loss intensity than on accelerating revenue.
- Provisions and contingencies of ₹122,263 lakh absorbed a substantial portion of ₹287,435 lakh pre-provision operating profit.
- Fixed assets increased to ₹257,781 lakh while H1 depreciation remained flat at ₹5,937 lakh YoY, requiring monitoring for depreciation-to-asset-base alignment.
Research and educational content only. Not investment advice.