Latest news with #AmitabhChaudhry
Time of India
12-05-2025
- Business
- Time of India
Rate transmission uneven despite liquidity comfort
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel Mumbai: Banks appear to have largely looked through improving system liquidity and policy rate cuts while reducing the cost of borrowing for those taking loans tied to the lenders' internal benchmarks. Rates have reduced by only 5-15 bps for existing borrowers on loans tied to marginal cost of funds-based lending rate, even as liqudity turned into a surplus, and the central bank cumulatively cut policy rates by half a percentage point since February."I think the market rates will remain dynamic for some time before they settle," Amitabh Chaudhry, MD, Axis Bank , had said during the earnings call. "It was something similar when the rate started going up. You will see something similar when the rates are going down. So, it is pretty much a part of the normal playout of this activity over the next couple of quarters." In response to the cumulative 250 basis point rate increase during the last tightening cycle, between May 2022 and September 2024, the one-year median MCLR rose 170 basis weighted average lending rate on fresh and outstanding rupee loans increased 186 basis points and 116 basis points, respectively, during this period. Last week, several major banks made modest adjustments to their lending rates. HDFC Bank , India's most-valued lender, reduced its one-year MCLR by 15 bps, from 9.30% to 9.15%. Liquidity in system has improved since April. Daily average surplus liquidity stood at ₹1.4 lakh crore in April and ₹1.3 lakh crore as of May 8. March saw an average daily deficit of ₹1.23 lakh WALR on outstanding rupee loans declined by 10 bps as of March. In case of fresh loans, it has increased reflecting the significant proportion of MCLR-linked loans in it, given the longer reset period, it may undergo adjustments with some lag, experts say."Uneven pace of rate transmission is due to mix of credit portfolios across fixed and floating rate structures, and varied spreads by banks," said Aastha Gudwani, India chief economist at Barclays.
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Business Standard
27-04-2025
- Business
- Business Standard
Axis Bank plans to raise Rs 20,000 cr through stake sale, debt issuance
Axis Bank Ltd plans to raise Rs 20,000 crore ($2.3 billion) through a share sale as part of a bigger capital raise that includes debt. The Mumbai-based bank plans to raise Rs 35,000 crore ($4.1 billion) through local rupee bonds or foreign currency bonds, Additional Tier-1 bonds, infrastructure bonds and other debt, the bank said in an exchange filing Thursday. The equity funds will raised through sale of local shares or depository receipts, either by way of institutional placement or preferential allotment, it said. The fund raise comes at a time when a gauge of Indian lenders' shares is near its record high, driven by investors' bullishness due to the sector's relative insulation from tariff-related turmoil. Last week, IDFC First Bank Ltd. approved a plan to raise 75 billion rupees ($877 million) from Warburg Pincus LLC and Abu Dhabi Investment Authority. The operating environment is improving, which would help drive growth and profits this financial year, Amitabh Chaudhry, the bank's chief executive said during a media call on Thursday. 'Corporate, secured retail and small-medium-enterprise loans are holding up well. We will stay focused on deposit quality, cost and growth,' he said. Axis Bank's deposit base rose 10% on year to Rs 11.73 trillion and advances grew 8% to Rs 10.41 trillioN, underpinned by its corporate and small-medium-enterprise loan books. Gross non-performing assets stood at 1.28%, compared with an estimate of 1.51%.
India.com
26-04-2025
- Business
- India.com
Bad news for employees of this company as 100 senior staff asked to leave due to…, not Narayana Murthy's Infosys, Ratan Tata's TCS, the company is…
Representational Image Axis Bank layoffs: Axis Bank, one of India's leading private banks, has reportedly sacked over 100 senior employees, with CEO Amitabh Chaudhry later saying that the layoffs were part of the lender's annual appraisal process. As per reports, more than 100 senior staff were asked to leave during the bank's Q4 FY25 earnings call due to poor performance. 'As is the case in any organisation, we conduct a detailed appraisal cycle at the end of each financial year. Many employees are rewarded and promoted, while some may fall short in terms of performance, leading to difficult conversations,' Axis Bank CEO Amitabh Chaudhry said while commenting on reports about the private lender asking more than 100 senior workers to leave. Chaudhry noted that the banking industry is facing multi-faceted challenges due to which the performance of some employees in various sectors has dipped over the last fiscal. ''On one side bank is investing heavily in certain areas, in some areas, obviously given the performance given how some people might have fared you might see some individuals existing but that happens every year,' he said, adding that the layoffs are a 'nothing unusual', and part of the bank's annual appraisal cycle. Meanwhile, according to Axis Bank's Q4 results, its net profit stagnated at Rs 7,117 crore, while the operating profit for the January-March 2025 quarter, saw a marginal 2 percent YoY increase to Rs 10,752 crore. The private bank's Net Interest Margin (NIM) for Q4 FY25 stood at 3.97 percent, improving 4 bps QoQ, while its operating revenue witnessed a 4 percent YoY growth to Rs 20,590, up from Rs 19,855 crore in same period last year.
News18
24-04-2025
- Business
- News18
Axis Bank Q4 Results: Net Profit Marginally Falls To Rs 7,118 Crore, Re 1 Dividend Declared
Last Updated: Axis Bank Q4 Results: Its net interest income, the difference between interest earned on loans and paid on deposits, rises 5.5 per cent to Rs 13,811 crore. Axis Bank Q4 Results: Axis Bank on Thursday reported a marginally fall in its standalone net profit to Rs 7,118 crore for the fourth quarter ended March 2025, compared with Rs 7,130 crore a year ago. The private lender's total income during January-March 2025 rose 6 per cent to Rs 38,022 crore, compared with Rs 35,990 crore in the year-ago period. Axis Bank Q4 Results: Re 1 Dividend Declared Yes Bank's board of directors has recommended a dividend of Re 1 per equity share for the year ended March 31, 2025. This would be subject to approval by the shareholders at the next annual general meeting. Its net interest income, the difference between interest earned on loans and paid on deposits, rose 5.5 per cent to Rs 13,811 crore, according to a regulatory filing. Net interest margin (NIM) for Q4FY25 stood at 3.97 per cent. Axis Bank Q4 Results: Total Income Rises Total income rose to Rs 38,022 crore in the March quarter of the 2024-25 fiscal year, from Rs 35,990 crore in the year-ago period, Axis Bank said in a regulatory filing. The bank's gross non-performing asset (NPA) improved to 1.28 per cent in the quarter under review from to 1.43 per cent in the year-ago period. However, net NPA was at 0.33 per cent in Q4 FY25 from 0.31 per cent in the year-ago period. For the 2024-25 fiscal year, the bank's net profit rose to Rs 26,373 crore from Rs 24,861 crore in the preceding fiscal year. Besides, the total income grew to Rs 1,47,934 crore in FY25 from Rs 1,31,810 crore in FY24. 'The bank prioritised profitability over growth, considering the uncertain macros and tight liquidity environment dominating most of FY25, while continuing to meaningfully invest in making the franchise more sustainable. As we enter FY26, we believe the operating environment is improving, which should help us drive both growth and profitability," Axis Bank MD and CEO Amitabh Chaudhry said. Axis Bank Q4 Results: Balance Sheet Grows 9% Axis Bank said its balance sheet grew 9 per cent year-on-year and stood at Rs 16,09,930 crore as on March 31, 2025. Shares of Axis Bank on Thursday closed at Rs 1,208.5 apiece on the NSE, 0.13 per cent higher. First Published:
