INDUSINDBK

: Stock prices expected to end in profit by the End of this year

's Accounting Anomaly and Impact Following a significant 27% drop in IndusInd Bank shares on Tuesday, CEO Sumant Kathpalia assured that the bank is expected to offset the losses within the current quarter. "The full year won't be a loss at all. And I think Q4 will also be in profit," he told CNBC-TV18. The bank has projected a Rs 1,530 crore negative impact as a result of discrepancies in its derivative portfolio, which could adversely affect its net worth by 2.35%. Kathpalia explained that the bank discovered the anomaly on October 24 and immediately initiated an internal assessment, as well as appointed an external agency. Promoter Group's Assurance on Liquidity and Transparency Ashok Hinduja, Chairman of International Holdings Ltd (IIHL), the bank's promoter group, confirmed that there have been no margin calls activated on pledged holdings. He reassured stakeholders that the promoter group possesses strong financial support to increase its ownership in the bank upon obtaining regulatory clearance. Hinduja also urged shareholders not to panic, acknowledging their concerns regarding the timing of the disclosure. Regulatory Developments and Investor Concerns The Reserve Bank of India initially granted incumbent MD & CEO Sumant Kathpalia a one-year extension, despite the board approving a three-year extension. The recent sell-off in IndusInd Bank has led to a market cap decline of nearly Rs 20,000 crore, reflecting investor unease. Kathpalia, however, reiterated that the bank is "very very solid" and that there are no "hidden skeletons in the cupboard," assuring full transparency. Note : Follow Position Sizing and Risk Management at all times