IndusInd Bank

Deriving its name from the Indus Valley Civilisation, IndusInd Bank is among India's new-gen private sector banks. It was incorporated in 1994 by Srichand P Hinduja, the head of the Hinduja Group, The bank launched its IPO in 1997, raising ₹1,800 crore. Another ₹1,000 crores was raised through the preferential issue of shares.

The business lines include corporate banking, retail banking treasury and foreign exchange investment, banking capital markets, non-resident Indian/high-net-worth individual banking and information technology. It serves 3.7 crore customers in India through its network of 2631 branches and 2903 ATMs.

Business operations

Following its IPO, IndusInd Bank expanded its product portfolio by introducing services like FAST Forex, Indus Home, Indus Estate and Indus Auto. At the turn of the century in 2000, IndusInd became the settlement bank for BSE and National Stock Exchange (NSE).

The bank soon introduced mobile and net banking facilities for its customers in India while expanding its branch network to 53. IndusInd Enterprises & Finance Ltd, an NBFC and one of the promoters, was eventually amalgamated with the bank. During the early 2000s, IndusInd Bank also focused on tie-ups with exchange houses in the Middle East and banks in the United States.

The bank was merged with Ashok Leyland Finance, a leasing finance and hire purchase firm, in 2004.

IndusInd Bank is the first Indian lender to receive ISO 9001:2000 certification for its corporate office and its entire network of branches.

During 2004-05, the bank tied up with Ashok Leyland for channel financing and signed an agreement with National Commodity & Derivatives Exchange Limited (NCDEX) as a clearing baker.

In 2008-09, IndusInd Bank established its public sector vertical to cater to the specialised needs of public sector clients. It received regulatory clearance for setting up 112 new branches in 2010.

By 2010, the bank set up its microfinancing unit. IndusInd Bank is credited as a pioneer of the concept of solar ATMs by installing solar panels atop ATMs in Maharashtra.

In 2011, IndusInd acquired Deutsche Bank's credit card business in India. It also signed a MoU with HDFC Ltd for home loans.

The year 2013 saw the bank launch microfinance institutions through the business correspondent model. The bank also launched its first currency chest in Mumbai followed by one in Delhi.

IndusInd Bank shares made an entry into the NIFTY 50 Benchmark in 2013. A year later, the bank inaugurated its first digital branch at IndusInd Cybercity Rapid Metro station in Gurugram.

In 2015, IndusInd Bank partnered with Royal Bank of Scotland N.V. to take over its diamond and jewellery financing business in India and other related deposits portfolio.

IndusInd Bank’s market capitalisation stood at over ₹1.23 lakh crore as of December 27, 2023. IndusInd Bank share price has surged over 86% in the last three years

Financial Highlights

• The bank’s net interest income (NII) in FY23 increased 17.27% year-on-year to ₹17,592.12 crore compared to ₹15,000.84 crore in the previous financial year.
• In FY23, the revenue stood at ₹25,758.49 core, up 15.33% compared to ₹22,335 crore in FY22.
• IndusInd Bank reported a net profit of ₹7,389.72 crore in FY23, an increase of 60.26% compared to ₹4,611.12 crore in FY22.
• The operation profit stood at ₹14,346.48 crore in FY23 up 12.29% as against ₹12,775.75 crore in FY22.
• Its earnings per share (EPS) increased to ₹95.32 in FY23 as against ₹59.57 in FY22.