Indusind Bank: Has the bad time of IndusInd Bank has passed, what should investors do? – Indusind Bank Had Indusind Bank Left Past Its Bad Days Should You Invest in this Stock

IndusInd Bank has lost Rs 2,329 crore in the fourth quarter of financial year 2024-25. The big reason for this is that the bank has included the impact of all the accounting lapses since March 2025 in the results of the fourth quarter. To include lapses in the accounting means that the interest involved with it had to reverse the bank. This led to a sharp decline in the bank’s margin. The bank’s other income decreased and its non-performing assets decreased.

The bank first told about lapses in March 2025

Indusind bank Many shocking things are known when watching the micro-finance book carefully. Actually, the bank has been passing hard since March 2025. The bank then revealed lapses in derivative accounting for the first time. It was investigated by Independent Professional Firm and External Ansji. An accounting loss of about Rs 2000 crore was detected in it. Therefore, the bank reduced its other income by Rs 1,960 crore in the fourth quarter.

Many lapses also appeared in the microfinance book

Many lapses are detected when IndusInd Bank’s micro finance business carefully viewed. The bank had incorrectly reported interest income and fee income in the first 9 months of the last financial year. Classifications of certain micro-finance loans were also disturbed. Due to this, the bank provided less than necessary. There was also negligence in identifying NPA. This caused a shock of Rs 3,509 crore to the bank’s micro-finance book in the fourth quarter. Finally, the income of about Rs 760 crore was indirectly put in interest instead of other income.

Profit in FY25 despite los in fourth quarter

IndusInd Bank has a profit of Rs 2,575 crore in FY25 despite loses in the fourth quarter. The bank’s balance sheet is also good. In the fourth quarter, the bank had an average liquidity coverage ratio (LCR) 118 per cent and had access liquidity of Rs 39,600 crore. For the management of liquidity, the bank allowed some corporate loans to go by hand. This led to a 16 per cent decline in the corporate rate on a quarterly basis and 6 per cent year -on -year basis. In FY25, the bank’s micro finance loan book declined. However, other banks also performed poorly in the micro finance segment.

Risk for IndusInd Bank is not completely over

In March this year, the bank told about the accounting lapses for the first time. Nearly two months have passed since then. The board of the bank has said that all lapses and frauds have been identified. The board has also said that necessary steps are being taken to do such things not to be repeated. However, despite this assurance, the risk for the bank is not completely over. The bank will have to keep a close watch on the MFI segment. The appointment of the new CEO is also eyeing. The trust of the bank’s customers and investors has suffered a setback. He has to try to return.

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What should investors do?

Investors can invest in shares of this bank in terms of 3-5 years. However, this investment will have to make them slightly instead of losing them. IndusInd Bank has a good financial health. It is not easy to get a banking license in India. In such a situation, IndusInd Bank has a chance to take advantage of India’s fast growing economy.