Axis Bank's Q2 FY25 Financial Results Show Mixed Performance, Investors Advised to Hold

Axis Bank, one of the largest private banks in India, recently declared its financial results for the quarter ending September 2024. The stock call for the bank by MarketsMOJO is ‘Hold’. The bank has shown a flat financial performance in this quarter, with a score of 1 compared to 14 in the last 3 months.

However, there are some positive aspects to the bank’s financials. The Profit After Tax (PAT) for the nine-month period has grown by 238.52% year on year, reaching Rs 20,081.88 crore. The bank’s net interest income for the quarter is also at its highest at Rs 13,483.20 crore and has shown growth in the last five quarters. This indicates that the bank’s core business is performing well.

On the other hand, there are some areas of concern for Axis Bank. The Profit Before Tax less Other Income (PBT) for the quarter has fallen by -35.81% year on year, and the operating cash flow has also decreased in the last three years. The PBT for the quarter is also at its lowest in the last five quarters. Additionally, the non-operating income for the quarter is 79.00% of the PBT, which is not a sustainable business model.

Overall, Axis Bank’s financial performance for the quarter ending September 2024 has been mixed. While there are some positive trends, there are also some areas that need improvement. Investors are advised to hold their positions and monitor the bank’s performance in the coming quarters.