Bank stock hits 20% lower circuit after it faces ₹2,000 Cr decline in its net worthBank stock hits 20% lower circuit after it faces ₹2,000 Cr decline in its net worth

Introduction:

Leading bank faced a sharp decline in its share price, hitting a lower circuit after reporting a 2.35% drop in net worth. The loss, linked to discrepancies in past derivative trades, may impact profitability by around ₹2,000 crore, raising investor concerns.

Also Read: Electric equipment stock falls 4% after promoters sell 2.37% stake in the company

Share price movement of IndusInd Bank:

On March 11, 2025, IndusInd Bank Ltd opened at ₹810.55, down 10% from its previous close of ₹900.60. The stock hit a high of ₹810.55 and a low of ₹720.50 (-20%). By 10:02 AM, it traded at ₹720.50, a 20% decline, with a market cap of ₹56,130.80 crore.

IndusInd Bank Shares Plunge on Net Worth Hit:

IndusInd Bank’s share price plunged on Tuesday, hitting a lower circuit, after the private lender disclosed a 2.35% decline in net worth. The drop stems from discrepancies in derivative trades, potentially impacting profits by ₹2,000 crore. Shares touched a 52-week low.

The bank cited non-compliance with RBI rules enforced from April 2024 as the reason for the discrepancies, affecting trades conducted 5-7 years prior. An internal review estimated the adverse impact, and an external agency has been appointed to validate these findings before final adjustments.

Despite the setback, IndusInd Bank assured investors of its strong profitability and capital adequacy to absorb the one-time hit. The financial impact will be reflected in Q4FY25, primarily affecting Non-Interest Income (NII). The bank awaits the external agency’s final report for further action.

Stock performance of IndusInd Bank for Period of 1 week, 6 months, and 1 year:

Over the past week, the leading bank’s stock declined by 8.82%, extending its downward trend. Over six months, it dropped 37.6%, and in one year, it plunged 41.6%, reflecting significant investor concerns and market volatility.

Also Read: Defence stock jumps after securing order worth ₹44.36 Cr from the Indian army

Shareholding pattern of IndusInd Bank:

Particulars	Dec 2024	Sep 2024	Jun 2024
Promoter	16%	16%	16.40%
FII	24.70%	34.10%	38.40%
DII	42.80%	35.10%	30.20%
Public	16.20%	14.40%	15.00%

About IndusInd Bank:

IndusInd Bank Ltd (NSE: INDUSINDBK), established in 1994, is a publicly held commercial bank offering diverse banking products and financial services to corporate and retail clients. It also operates in India’s International Financial Service Centres.

Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time. The securities quoted are exemplary and are not recommendatory.