IDFC First Bank shares slump 7% to 21-month low as microfinance segment weighs on Q3 profit

Shares of IDFC First Bank dropped almost 7% to a 21-month low after reporting a significant decline in third-quarter profit due to increased bad loan provisions in the microfinance segment. Gross slippages in the microfinance segment surged by 49% on-quarter, contributing to a negative outlook for the bank’s earnings in the upcoming quarters, as noted by Jefferies.