9.2 C
Munich

Federal Bank posts highest-ever quarterly profit; up 53% over last year

Must read

[ad_1]


Private sector lender has posted a net profit of Rs 704 crore during the second quarter of the current financial year, up 53 per cent rise over the year-ago figure of Rs 460.3 crore.


“This is the bank’s highest ever quarterly profits. These profit numbers were inspired by an all-round performance by the bank – including corporate segment, retail and interest income,” said Shyam Srinivasan, managing director and chief executive officer, .


The bank’s net income interest (NII), the difference between interest earned and expended, also increased by 19.1 per cent to Rs 1,762 crore during Q2 of FY23, from Rs 1,479 crore during the July-September period of the previous . Its other income was also up 24 per cent during the quarter to Rs 610 crore, from Rs 492 crore in Q2 of 2021-22. Its total income grew by 20 per cent to Rs 4,630 crore during the period under review. The bank’s net interest margin (a measure of profitability) increased by 10 bps to reach 3.3 per cent.


The Kochi-based bank’s operating profit was the highest ever at Rs 1,212 crore during the quarter under review, up from Rs 912 crore during the July to September quarter of the last . Asset quality improved as gross non-performing assets (NPAs) and net NPAs came down. of the bank at the end of Q2 FY23 stood at Rs 4,031 crore, or 2.46 per cent of gross advances. The Net NPAs stood at Rs 1.262 crore, or 0.78 per cent of net advances. Fresh slippages in the quarter were worth Rs 375 crore, with most coming from the retail portfolio. The provision coverage ratio (including technical write-offs) was 82.76 per cent. Credit cost for the quarter stood at 0.53 per cent.


Total deposits increased from Rs 1,71,995 crore as on September 2021, to Rs 189,146 crore as on September 2022. The current account savings account (CASA) deposits grew by 10.74 per cent to reach Rs 688,73 crore. On the asset side, total advances rose from Rs 137,313 crore by the end of Q2FY22 to Rs 1,63,958 crore this year. Retail advances grew by 18.4 per cent, agricultural loans by 18 per cent and corporate advances by 21 per cent during the period under review.


“We expect our in the high teens (18-20 per cent), while deposit growth is consistent and expect it to be in pre-teens (10-12 per cent). A combination of this will ensure that our book is capable of growing,” Srinivasan said.

[ad_2]

Source link

- Advertisement -spot_img

More articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisement -spot_img

Latest article