Axis Bank (AXISBANK) Q4 24/25 earnings summary

Executive summary

• Delivered strong financial performance in FY2025 with 10% YoY growth in operating revenue and 6% YoY growth in net profit, supported by disciplined cost management and robust asset quality.

• Core operating profits rose 11% YoY and 5% QoQ in Q4 FY25; consolidated ROA and ROE for FY25 at 1.77% and 16.89%, respectively, with CET1 ratio at 14.67%.

• Deposits grew 10% YoY and 7% QoQ; advances up 8% YoY and 3% QoQ, with retail advances constituting 60% of total advances.

• Subsidiaries delivered robust results, with double-digit PAT growth and combined net profit of ₹1,768 crores.

• Digital transformation, customer-centric initiatives, and completion of Citibank India consumer business integration enhanced operational efficiency and premium retail franchise.

Financial highlights

• FY25 NIM at 3.98%; Q4FY25 NIM at 3.97%; fee income grew 11% YoY to INR 22,504 crore, with 93% granular fees.

• Operating expenses for FY25 at INR 37,500 crore, up 6% YoY; cost-to-assets at 2.46%, down 9 bps YoY.

• Net profit grew 6% YoY to ₹26,373 crores; operating profit up 13% YoY to ₹42,105 crores.

• Gross NPA at 1.28% (down 15 bps YoY), net NPA at 0.33%; provision coverage at 75%.

• Dividend of ₹1 per share recommended for FY25, with a total payout of ₹309 crores.

Outlook and guidance

• Management expects improved liquidity and a supportive regulatory environment in FY2026, with focus on profitable growth, digital leadership, and expanding distribution in rural and semi-urban markets.

• Continued investment in technology, risk management, and ESG initiatives to drive sustainable, long-term value creation.

• No explicit guidance for FY26 growth or margins, but confidence expressed in franchise strength and ability to manage through cycles.