IndusInd Bank share price settled with the decline of 4.88% to 787.65 per share on Bombay Stock Exchange (BSE) as Sensex ended the day with the gain of 187.09 points to 79,595.59 on April 22, 2025. The bank today issued clarification on reports that it had hired Ernst & Young (EY to carry out another audit to probe Rs 600 crore discrepancy in microfinance portfolio. It stated via its exchange filing that it has not engaged with EY for a forensic audit as reported earlier. Meanwhile, the private bank stock witnessed gains of 7.04% in last 1-week and outperformed market as Sensex gained 3.73%, BSE BANKEX index zoomed 6.58%, and BSE Financial Services index rallied 5.60% during the similar time period. The market capitalisation of the bank stood at Rs 61,362.23 crore.
IndusInd Issues Clarification On Roping EY
According to the exchange filing of the bank dated April 22, 2025, “As a part of the process of finalization of accounts, the Bank’s Internal Audit Department (IAD) is conducting a review of the Bank’s MFI business to examine certain concerns which have been brought to the Bank’s attention. In connection with this exercise, Bank is engaged with EY to assist the IAD in reviewing certain records of the Bank. The review by the Bank is ongoing.” We are conscious of our disclosure obligations under Regulation 30 of the Listing Regulations and shall continue to comply with the same, added the exchange filing.
Earlier, Economic Times had reported that the large cap private bank had roped in global consulting firm EY to investigate the probe of Rs 600 crore anomaly. The report added, the discrepancy was disclosed during its statutory audit for FY 2024. Later on auditors issued a statement under Section 143(12) of the Companies Act, 2013, raising red flags about possible accounting lapses. Initial reports suggest the discrepancy occurred during the second or third quarter of FY24 and is not spread over multiple years.
As per reports, IndusInd also recruited PwC to conduct an independent review of the bank’s forex derivate accounting. The report suggested likely losses of approximately Rs 1,979 crore, much higher than the earlier projection of Rs 1,600 crore. Meanwhile, PwC’s report carried considerable disclaimers. The anticipated losses account to nearly 3.1% of the Bank’s net worth as per the report.
Meanwhile, the Bank also promoted Santosh Kumar to the position of Deputy Chief Financial Officer ahead of Q4 results. Kumar will reportedly take over from interim CFO Arun Khurana, who was given the role in January while continuing to head treasury operations. The bank divulged the irregularities in its derivative portfolio on March 10, 2025.
IndusInd Shares Performance
The 52-week high price of IndusInd Bank share on BSE stood at Rs 1,550.00 per share (as on 19/06/2024) and 52-week low price is Rs 605.40 per share (as on 12/03/2025), respectively. IndusInd shares zoomed over 15% in last 2-weeks, slipped 38.19% in last 6-months, and fell 46.65% in last 1-year. In last 5-years, the stock gained 89.52%.
IndusInd Financials Compared With Peer Group
The bank declared its profit after tax (PAT) for December 2024 quarter at Rs 1,401.28 crore. In comparison, HDFC Bank reported its PAT at 16,735.50 crore, Kotak Bank declared PAT of Rs 3304.80 crore, and IDFC First Bank announced PAT of Rs 339.43 crore
Disclaimer: The story highlights update on roping EY and should not be considered as investment advice by the Moneydaily.in or the Author. Moneydaily.in and the author will not be held responsible for any losses caused as a result of decisions based on the above information. Moneydaily.in advises readers to do their own research or consult a SEBI registered investment advisor before making any investment decisions.
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