Significant Drop in Net Profit for IndusInd Bank

In a recent financial disclosure, IndusInd Bank announced a sharp 39% decline in its net profit for the December quarter, falling to Rs 1,402 crore from Rs 2,301 crore in the same period last year. This significant downturn is primarily attributed to an 85% increase in provisions and contingencies, which soared to Rs 1,744 crore.

Impact of Microfinance Sector Woes

Among the provisions, a substantial sum of Rs 695 crore was allocated to address stressed microfinance loans, highlighting the challenges faced by the microfinance sector and its impact on the bank's financial health.