Axis Bank Q3 PAT seen up 18.1% at Rs 1,485 crore

MUMBAI: Axis Bank, India’s third-largest private bank, is expected to report a net profit of Rs 1,485 crore for the quarter ended December 2013, up 18.1 per cent, as against a net profit of Rs 1,347.2 crore in the corresponding quarter of the last fiscal year, according to an ET Now poll.

The bank's net interest income is seen at Rs 3,015 crore, up 20.9 per cent, as against Rs 2,494.8 crore in the year-ago period.

Pre-provision profit (PPP), or profit before deducting any provisions, are likely to rise 18.1 per cent to Rs 2,789 crore from Rs 2,361.5 crore in the same quarter of the last fiscal year.

Analysts are expecting net interest margins to moderate about 5-10 bps quarter on quarter (QoQ). Slippages, restructured assets are expected to inch up slightly QoQ.

Fee income is likely to be muted, while high provisions might impact profits, they say. Loan growth is likely to be above industry estimates at about 17-18 per cent year on year.

Factors to watch:

- Trend in margins, savings account accretion

- Slippages and restructured assets addition

- Management guidance on asset quality and business growth