Axis Bank Q2 FY25 Results: Net Profit Rises 18% to ₹6,918 Crore
Axis Bank, a prominent private sector lender, reported an impressive 18% year-on-year increase in net profit for the second quarter of the financial year 2025 (Q2FY25). The bank’s net profit reached ₹6,918 crore, up from ₹5,864 crore in the same period last year, bolstered by significant growth in other income streams, including fees and trading revenue.
In Q2FY25, the bank’s net interest income (NII) rose by 9% year-on-year to ₹13,483 crore, reflecting robust expansion in loan advances. However, the net interest margin, a key profitability metric for banks, dipped slightly to 3.99%, compared to 4.05% in the previous quarter and 4.11% in Q2FY24.
The bank’s loan loss provisions saw a substantial year-on-year increase of 42%, totaling ₹1,441 crore. On a sequential basis, however, provisions decreased by 43%. Total provisions for the quarter amounted to ₹2,204 crore, markedly higher than ₹815 crore in the same quarter last year and up from ₹2,039 crore in the prior quarter.
Fresh slippages were reported at ₹4,443 crore for Q2FY25, a decrease from ₹4,793 crore in Q1FY25 but an increase from ₹3,254 crore in Q2FY24. Notably, Axis Bank’s asset quality exhibited improvement both year-on-year and sequentially. The gross non-performing assets (NPAs) ratio fell to 1.44%, down 29 basis points from the previous year and 10 basis points sequentially, while net NPAs declined to 0.34%. Overall, Axis Bank’s strong performance reflects its effective management and resilience in a competitive banking environment.
Axis Bank Q2FY25 Financial Highlights
Axis Bank, a leading private sector lender, reported a robust 18% year-on-year increase in net profit for the second quarter of the financial year 2025 (Q2FY25). The bank’s net profit reached ₹6,918 crore, up from ₹5,864 crore in the same quarter last year, driven by significant growth in various income streams, particularly fees and trading revenue.
Key Financial Metrics
- Net Interest Income (NII): Increased by 9% year-on-year to ₹13,483 crore, indicating strong loan growth.
- Net Interest Margin (NIM): Slightly decreased to 3.99%, down from 4.05% in the previous quarter and 4.11% in Q2FY24.
- Loan Loss Provisions: Saw a 42% year-on-year rise, totaling ₹1,441 crore; however, this represented a 43% decline on a sequential basis.
- Total Provisions: Amounted to ₹2,204 crore, significantly higher than ₹815 crore in the same quarter last year and up from ₹2,039 crore in the previous quarter.
- Fresh Slippages: Reported at ₹4,443 crore for Q2FY25, down from ₹4,793 crore in Q1FY25 but up from ₹3,254 crore in Q2FY24.
- Asset Quality: Improved both year-on-year and sequentially, with the gross non-performing assets (NPAs) ratio decreasing to 1.44% (down 29 basis points year-on-year and 10 basis points sequentially) and net NPAs at 0.34%.
Summary Chart
| Financial Metric | Q2FY25 | Q1FY25 | Q2FY24 |
|---|---|---|---|
| Net Profit | ₹6,918 crore | – | ₹5,864 crore |
| Net Interest Income (NII) | ₹13,483 crore | – | – |
| Net Interest Margin (NIM) | 3.99% | 4.05% | 4.11% |
| Loan Loss Provisions | ₹1,441 crore | – | – |
| Total Provisions | ₹2,204 crore | ₹2,039 crore | ₹815 crore |
| Fresh Slippages | ₹4,443 crore | ₹4,793 crore | ₹3,254 crore |
| Gross NPAs Ratio | 1.44% | – | – |
| Net NPAs Ratio | 0.34% | – | – |
Overall, Axis Bank’s performance in Q2FY25 reflects effective management and resilience in a competitive banking landscape.
