IndusInd Bank Limited — PPTs, 28-07-2025: Investor Presentation

**Financial Highlights:**

IndusInd Bank's Q1 FY26 recorded a Net Profit of ₹ 604 Cr, a 72% YoY decline but a strong sequential recovery. Net Interest Income (NII) was ₹ 4,640 Cr (down 14% YoY, up 52% QoQ). Net Interest Margin (NIM) improved to 3.46% (+121 bps QoQ). Loans stood at ₹ 3,33,694 Cr, and Deposits at ₹ 3,97,144 Cr. Asset quality remains stable with Gross NPA at 3.64% and Net NPA at 1.12%, backed by a 70% Provision Coverage Ratio. Capital Adequacy (CRAR) is healthy at 16.63%.

**Strategic Initiatives & Growth Drivers:**

The bank's Digital 2.0 strategy is yielding significant results. The INDIE app's Monthly Active Users (MAU) surged 2.6x QoQ, with impressive increases in FD bookings (+220% QoQ) and new savings accounts (+292% QoQ). The INDIE for Business app for MSMEs also saw MAU jump 129% QoQ, onboarding 100,000 MSMEs in under six months. Digital transactions now comprise 93% of total.

**Business Developments:**

IndusInd Bank maintains a diversified loan portfolio, with 60% in Retail and 40% in Wholesale. Vehicle Finance accounts for 29% and Micro Loans 8% of the book. The bank is the second-largest Micro Finance lender, serving 12 million BFIL customers, and is expanding non-vehicle retail loans.

**Market Position & Competitive Advantage:**

As the 5th largest private bank, IndusInd boasts an extensive distribution network across India, covering ~164,000 villages and serving ~42 million customers. Its universal banking approach, strong domain expertise, robust balance sheet, and stable asset quality reinforce its competitive edge.

**Investor Implications:**

Despite YoY financial contraction, strong QoQ operational recovery and robust digital adoption highlight positive growth potential. The diversified portfolio and healthy capital base provide resilience. Investors should watch for sustained digital execution translating into improved profitability.