PSU banks profit increased by 40% in FY24; Which is the top performing lenders?


Due to increased interest revenue, decreased credit costs, and better asset quality, public sector banks were able to record another respectable set of results for the December quarter. Twelve Indian public sector banks (PSBs) reported a total profit in Q3FY24 of Rs. 30,297 crore, up 3.84% from Rs. 29,175 crore during the same time the previous year.


PSBs have made a cumulative profit of Rs. 98,358 crore for the first nine months of the current financial year, up 40.17% from Rs. 70,166 crore during the same period last year. Public sector banks made a total profit of roughly Rs. 34,418 crore in Q1 and Rs. 33,643 crore in Q2 of the current fiscal year.

In Q3, Punjab National Bank's net profit increased by 253% YoY to Rs. 2,223 crore, making it the top performer in terms of percentage profit growth. Improved asset quality and increased interest revenue contributed to the largest profit in the previous fifteen quarters.


With a YoY increase in net profit of nearly 62% and a total of Rs. 1,870 crore, Bank of India emerged in second place, largely due to declining bad loan levels.

Following closely behind, Union Bank of India reported a 60% increase in net profit to Rs. 3,590 crore in Q3 FY24 from Rs. 2,245 crore in the December quarter of FY23. Its other revenue increased dramatically to Rs. 3,774 crore, up 15.37% YoY.

Similarly, the Central Bank of India reported a 56% YoY increase in net profit in Q3 FY23 to Rs. 718 crore, up from Rs. 458 crore in Q3 FY23.

In Q3 FY24, Bank of Maharashtra also reported strong results, with its net profit rising 34% to Rs. 1,036 crore. The bank reported a net profit of Rs. 775 crore for the same period in the previous year.

At a time when most public sector lenders are struggling to achieve double-digit growth, the bank recorded the highest growth rate in terms of deposit mobilization. In the third quarter ending in December 2023, just two of the twelve public sector banks—Bank of Maharashtra (BoM) and State Bank of India (SBI)—saw double-digit increase in deposits.

The standalone net earnings of Indian Overseas Bank, Canara Bank, and Bank of Baroda increased at rates of 30.27%, 27%, and 19% year over year, respectively.

State Bank of India (SBI) announced a 35.50% YoY decline in its standalone net profit to Rs. 9,164 crore, attributed to weaker other income and increased pay provisions. In 3Q, SBIN set aside Rs. 6,300 crore for wage-related expenses, representing a 17% increase in pay.

During the same period, standalone net profit of UCO Bank and Punjab & Sind Bank decreased year over year by 23% and 69%, respectively.

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State Bank of India(SBI) Q3 FY24 Net profit falls 35%

 


State Bank of India (SBI) on Saturday reported a net profit of Rs 9,163 crore for Q3 quarter for FY24, which was 35 per cent less than Rs 14,205 crore clocked in the year-ago period.


The public lender though reported a standalone net profit of Rs 40,378 crores for the first nine months of FY24, which was 20.40 per cent up from Rs 33,538 crore in Q3 FY23


The bank said it has earned Rs 105,733.78 crore in interest income in Q3 FY24, which was up 22% from Rs 86,616.04 crore reported in the year-ago period. Of which, the bank paid Rs 66,918 crore in interests in the October-December quarter. The net interest income (NII) of the country's largest bank stood at Rs 39,815 crore, missing estimates of Rs 40,304 crore.


Whole Bank NIM for 9MFY24 decreased by 1 bp YoY to 3.28% while Domestic NIM for 9M FY24 decreased by 8 bps YoY to 3.41%.


The bank's gross non-performing asset (NPA) stood at 2.42%, down from 3.14% recorded in the corresponding quarter last year. On the other hand, net NPA for the quarter stood at 0.64 per cent compared to 0.77 per cent last year. Bank’s returns on assets (RoA) for Q3FY24 stood at 0.62% while for 9MFY24 the RoA and returns on equity (ROE) stood at 0.94% and 19.47% respectively.


Gross NPA ratio at 2.42% improved by 72 bps YoY. Net NPA ratio at 0.64% improved by 13 bps YoY. PCR (Incl. AUCA) stands at 91.49%. Provision Coverage Ratio (PCR) at 74.17% declined by 195 bps YoY. Slippage Ratio for 9MFY24 improved by 5 bps YoY and stands at 0.67%. Slippage Ratio for Q3FY24 increased by 17 bps YoY and stands at 0.58%. Credit Cost for Q3FY24 remained flat YoY at 0.21%.The bank's operating profit for Q3 stood at Rs 20,336 crore.


Credit growth at 14.38% YoY with Domestic Advances growing by 14.47% YoY. Corporate Advances and SME Advances cross Rs 10 lakh crore and Rs 4 lakh crores. respectively. Foreign Offices’ Advances grew by 13.90% YoY. Domestic Advances growth driven by SME Advances (19.24% YoY) followed by Agri Advances which grew by 18.12% YoY. Retail Personal Advances and Corporate loans registered YoY growth of 15.28% and 10.71%, respectively. Whole Bank Deposits grew at 13.02% YoY, out of which CASA Deposit grew by 4.48% YoY. CASA ratio stands at 41.18% as on December 31, 2023.


The decline was as expected by analysts. Kotak Institutional Equities expected operating profit growth to be decline sharply by 18.3 per cent Y-o-Y to Rs 20,613 crore from Rs 25,219.3 crore earned in Q3FY23. 


"We are building net interest margin (NIM) to decline around 7 basis points Q-o-Q/19 bps Y-o-Y, but do see a possibility of stable performance given the structure of loan book and neglibile need for deposits to fund this growth. Operating expenses would be higher due to wage revision related costs (final settlement impact)," Kotak Institutional Equities said in its results preview report.

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Bank of Baroda(BoB) Q3 results: Net profit jumps 19%

 


Bank of Baroda on Wednesday, January 31, reported an 18.8% rise in net profit reaching ₹4,579 crore in the third quarter of the 2023-24 fiscal as compared to ₹3,852.7 crore last year. The lender's net interest income (NII) stood at ₹11,101 crore, slightly surpassing the CNBC-TV18 poll estimate of ₹11,085 crore.


This represents a year-on-year (YoY) increase of 2.6%, rising from ₹10,818.3 crore.


The bank displayed some improvement in asset quality, with Gross NPA (Non-Performing Assets) at 3.08% as opposed to 3.32% in the previous quarter.


Net NPA also witnessed a decline, standing at 0.70%, down from 0.76% in the previous quarter.

Gross NPA amounted to ₹32,317 crore, a decrease from ₹33,978.5 crore in the previous quarter. Net NPA reduced to ₹7,208.3 crore from ₹7,596.7 crore in the last quarter.


The bank made provisions of ₹666.3 crore, significantly lower than the ₹2,404 crore reported YoY and ₹2,160.6 crore in the previous quarter.


The Cost to Income ratio demonstrated a reduction by 123 basis points (bps) YoY, reaching 47.13% for the nine months ending December 2023 (9MFY24).


The Global Net Interest Margin (NIM) of the lender improved by 3 basis points sequentially, standing at 3.10% in Q3FY24, compared to 3.07% in Q2FY24.


The Net Interest Margin for 9MFY24 is reported at 3.14%.


The credit cost remained below 1%, reporting 0.69% for 9MFY24 and 0.39% for the quarter.


The bank maintained a healthy liquidity coverage ratio at 133% as of December 31, 2023.


Bank of Baroda's global advances registered growth of 13.6% YoY in Q3FY24, driven by robust retail loan book growth.
The bank's organic retail advances grew by 22%, propelled by growth in high-focus areas such as Auto Loan (24.3%), Home Loan (15.6%), Personal Loan (60.8%), Mortgage Loan (10.5%), and Education Loan (18.3%).


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Bank of India(BoI) Q3 net profit jumps 62%

 


Public sector lender Bank of India (BOI) on February 2 reported a net profit of Rs Rs 1,869.5 crore for the December quarter of the financial year 2023-24, up 62.4 percent from the year-ago period from Rs 1,151 crore.


The bank's gross non-performing asset (NPA) stood at 5.35 percent, down from 7.66 percent in the year-ago period. On the other hand, net NPA stood at 1.41 percent, improving from 1.61 percent.


State-owned Bank of India (BoI) on Friday posted a 62 per cent jump in net profit to Rs 1,870 crore in the December quarter on account of decline in bad loans. The Mumbai-headquartered bank had earned a net profit of Rs 1,151 crore in the year-ago period.


The lenders' total income increased to Rs 16,411 crore during the third quarter of the ongoing fiscal against Rs 14,160 crore a year ago, BoI said in a regulatory filing.


The interest income of the bank rose to Rs 15,218 crore as against Rs 12,728 crore in the third quarter of the previous year.


Gross Non-Performing Assets (NPAs) of the bank declined to 5.35 per cent of the gross loans by the end of December 2023 from 7.66 per cent a year ago.


Similarly, net NPAs, or bad loans, came down to 1.41 per cent from 1.61 per cent at the end of the third quarter.


Capital Adequacy Ratio of the bank improved to 16.06 per cent as against 15.60 per cent at the end of December 2022.


During the quarter ended December 31, 2023, the bank issued additional 44,91,01,796 equity shares of face value Rs 10 each at an issue price of Rs 100.20 under Qualified Institutional Placement (QIP) on December 11, 2023 and raised an amount of Rs 4,500 crore, it said.


Accordingly, the shareholding of the Government of India in the bank has reduced to 73.38 per cent as on December 31, 2023

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Indian Bank posts 52% rise in Q3 net profit

 


State-owned Indian Bank reported a 51.84 percent rise in its net profit to Rs 2,119.35 crore in the third quarter of financial year 2023-24. On a sequential basis, net profit of the lender rose 6.6 percent.


This was on the back of better asset quality and increase in fee based income.



Gross non-performing assets (NPA) of the bank as of December 31, 2023, stood at 4.47 percent, as against 4.97 percent last quarter and 6.53 percent last year. The company's net NPA stood at 0.53 percent, as against 0.60 percent in the last quarter and 1 percent last year.


In absolute terms, gross NPA eased to Rs 22,787 crore in October-December quarter, from Rs 24,488 crore in a quarter ago period and Rs 29,484 crore in a year ago period.


Net NPA fell to Rs 2,579 crore in December quarter, from Rs 2,826 crore a quarter ago and Rs 4,271 crore a year ago.


In the reporting quarter, the total deposit of the lender rose 10 percent on-year to Rs 6.54 lakh crore. On quarterly basis, deposits rose 2 percent.


Of the total deposit, bank have a domestic deposit of Rs 6.29 lakh crore and Rs 24,753 crore overseas deposits. On a yearly basis, domestic and overseas deposits grew 8 percent and 89 percent, respectively.


CASA deposit grew by 8 percent, savings deposit grew by 7 percent and Current deposit by 12 percent on a yearly basis. Domestic CASA ratio stood at 41.14 percent.


The advances of the state-owned lender grew 13 percent on-year to Rs 5.1 lakh crore in October-December quarter.


RAM (Retail, Agriculture & MSME) advances grew by 13 percent on-year to Rs 2.97 lakh crore in reporting quarter, from Rs 2.63 lakh crore in a year ago period. RAM contribution to gross domestic advances is 62.58 percent.


Retail, Agri & MSME advances grew by 14 percent, 16 percent and 7 percent on-year, respectively.


Home Loan (Including mortgage) grew by 12 percent on-year, Auto Loan by 46 percent on-year and Personal Loan by 30 percent on-year. Priority Sector portfolio stood at Rs 1.72 lakh crore in third quarter of the current financial year.


The net interest income (NII) of the bank rose just 6 percent on-year in the October-December quarter to Rs 5,815 crore. In the quarter ago period, it stood at Rs 5,741 crore and in a yearo ago period it stood at Rs 5,499 crore.


The net interest margins of the lender stood at 3.41 percent in October-December quarter, from 3.46 percent in a quarter ago period and 3.67 percent in a year ago period.


The total domestic investment of the lender increased in the reporting quarter by 13 percent to Rs 2.06 lakh crore. Domestic investment includes investment in SLR and non-SLR securities.


In SLR securities, investment in state government securities and central government securities rose 22 percent and 6 percent, on-year respectively. However, investment in treasury bills reduced by 33 percent.


As of December 31, 2023, the lender have securities worth Rs 1.47 lakh crore in held to maturity (HTM), Rs 59,024 crore in Available for Sale (AFS), and Rs 433 crore in Held for Trading (HFT).

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Indian Overseas Bank(IOB) Q3 results: Net profit rises 30%

 


Public sector lender Indian Overseas Bank on January 24 reported a net profit of Rs 722 crore for the October-December quarter of 2023-24, which marks a 30 percent jump from Rs 555 crore clocked a year ago.


The bank's gross non-performing asset (NPA) stood at 3.90 percent, down from 8.19 percent recorded in the same quarter last year. On the other hand, net NPA for the quarter stood at 0.62 percent, improving from 2.43 percent a year back.


The net interest income of the bank stood at Rs 6,176 crore for the quarter,

compared to Rs 5,056 crore in the corresponding quarter last year. The net interest margin of the bank contracted to 3.12 percent compared to 3.27 percent last year.


Total deposits of the lender stood at Rs 2.78 lakh crore compared to Rs 2.73 lakh crores last year. The current account and savings account (CASA) ratio of the bank stood at 43.49 percent against 43.65 percent last year. The bank's advances stood at Rs. 2.16 lakh crore compared to Rs 2.08 lakh crores last year.


The lender's credit deposit (CD) ratio stood at 77.74 percent compared to 67.99 percent.

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UCO Bank Q3 Net profit falls 23%

 


Public sector lender UCO Bank on January 24 reported a net profit of Rs 503.83 crore for the October-December quarter of financial year (FY) 2023-24, which marks a 22.8 percent falls as compared to Rs 652.97 crore clocked in the year-ago period.


The bank's gross non-performing asset (NPA) stood at 3.85 percent, down from 5.63 percent recorded in the same quarter last year. On the other hand, net NPA for the quarter stood at 0.98 percent, improving from 1.66 percent on a year-on-year basis.


UCO Bank's total business grew by 10.46 percent to Rs.435456 crore on y-o-y, wherein gross advances increased by 18.63 percent to Rs. 179195 crore on y-o-y & total deposits grew by 5.38 percent on y-o-y to Rs.256261 crore.


Public sector lender net interest income (NII) for the nine months ended December 31, 2023, stood at Rs.5914 crore registering a growth of 10 percent on the y-o-y basis as against Rs.5371 crore for the nine months ended December 31, 2023. The Provision Coverage Ratio improved to 95.21 percent as on December 31, 2023. as against 93.58 percent as on December 31, 2022, registering an improvement of 163 bps on y-o-y basis and 14 bps on q-o-q basis.


UCO bank has a network of 3217 domestic branches and 2 overseas branches each at Hong Kong and Singapore Centre & 1 representative office in Iran as of December 31, 2023.

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Punjab National Bank(PNB) Q3 profit jumps over three-fold


State-owned Punjab National Bank (PNB) on Thursday posted an over three-fold increase in its profit to Rs 2,223 crore for the third quarter ended December 2023.


The bank had earned a net profit of Rs 629 crore in the same quarter a year ago.


Its total income increased to Rs 29,962 crore during the quarter under review against Rs 25,722 crore in the same period last year, PNB said in a regulatory filing.


The bank's interest income rose to Rs 27,289 crore compared to Rs 22,384 crore in the third quarter of the previous fiscal.


Its gross non-performing assets (NPAs) declined to 6.24 per cent of the gross loans at the end of December 2023 from 9.76 per cent a year ago.


Similarly, net NPAs or bad loans came down to 0.96 per cent from 3.30 per cent at the end of the third quarter of the previous fiscal.

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Canara Bank Q3 Net profit rises 27%

 


Public sector lender Canara Bank on January 24 reported a net profit of Rs 3656 crore for the October-December quarter of financial year (FY) 2023-24 beating the estimates of Rs. 3,524.5 crore.


The lender marks a 26.87 percent jump in net profit as compared to Rs 2881.52 crore clocked in the year-ago period.


The bank's gross non-performing asset (NPA) stood at 4.39 percent, down from 5.89 percent recorded in the same quarter last year. On the other hand, net NPA for the quarter stood at 1.32 percent, improving from 1.96 percent on a year-on-year basis.


Shares of the lender closed for trading nearly 2.22 percent down at Rs 448 apiece on BSE.


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ICICI Bank Q3 Results: PAT jumps 24% YoY, beats estimates


ICICI Bank announced its October-December quarter results for fiscal 2023-24 (Q3FY24) results, reporting a rise of 23.5 per cent in standalone net profit at ₹10, 272 crore, compared to ₹8,312 crore in the year-ago period.


India's second largest private sector lender's net interest income (NII) increased by 13.4 per cent to ₹18,678 crore in the December quarter from ₹16,465 crore in the corresponding period last year. 


The gross non-performing assets (NPA) ratio declined to 2.30 per cent at December 31, 2023 from 2.48 per cent at September 30, 2023. The net NPA ratio was 0.44 per cent at December 31, 2023 compared to 0.43 per cent at September 30, 2023 and 0.55 per cent at December 31, 2022.


The net additions to gross NPAs, excluding write-offs and sale, were ₹363 crore in Q3-2024 compared to ₹116 crore in Q2-2024. The gross NPA additions were ₹5,714 crore in Q3-2024 compared to ₹4,687 crore in Q2-2024. 


Recoveries and upgrades of NPAs, excluding write-offs and sale, were ₹5,351 crore in Q3-2024 compared to ₹4,571 crore in Q2-2024. The bank has written off gross NPAs amounting to ₹1,389 crore in Q3-2024. The provisioning coverage ratio on NPAs was 80.7 per cent at December 31, 2023.


The total period-end deposits increased by 18.7 per cent year-on-year and 2.9 per cent sequentially to ₹13,32,315 crore at December 31, 2023. Period-end term deposits increased by 31.2 per cent year-on-year and 4.9 per cent sequentially to ₹8,04,320 crore at December 31, 2023. Average current account deposits increased by 11.6 per cent year-on-year in Q3-2024. Average savings account deposits increased by 2.8 per cent year-on-year in Q3-2024.


The net domestic advances grew by 18.8 per cent year-on-year and 3.8 per cent sequentially at December 31, 2023. The retail loan portfolio grew by 21.4 per cent year-on-year and 4.5 per cent sequentially, and comprised 54.3 per cent of the total loan portfolio at December 31, 2023.


Including non-fund outstanding, the retail portfolio was 46.4 per cent of the total portfolio at December 31, 2023. The business banking portfolio grew by 31.9 per cent year-on-year and 6.5 per cent sequentially at December 31, 2023.


Provisions (excluding provision for tax) were ₹1,050 crore in Q3-2024 compared to ₹2,257 crore in the year-ago period.


In Q3-2024, provisions included ₹627 crore on investments in Alternate Investment Funds as per RBI circular dated December 19, 2023.


The non-interest income, excluding treasury, increased by 19.8 per cent year-on-year to ₹5,975 crore in Q3-2024 from ₹4,987 crore in Q3-2023


Fee income grew by 19.4 per cent year-on-year to ₹5,313 crore in Q3-2024 from ₹4,448 crore in Q3-2023. Fees from retail, rural, business banking and SME customers constituted about 79 per cent of total fees in Q3-2024


There was a treasury gain of ₹123 crore in Q3-2024 compared to ₹36 crore (US$ 4 million) in Q3-2023.


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IDBI Bank Q3 net profit jumps 57%


IDBI Bank on Saturday reported a 57 per cent growth in net profit to Rs 1,458 crore in the third quarter ended December 31, on lower provisioning and better interest income.

The LIC-controlled bank had a net profit of Rs 927 crore in the October-December quarter of 2022.

The bank's interest income improved during the third quarter of the current fiscal to Rs 6,541 crore, as against Rs 5,231 crore in the same period last fiscal.

The gross non-performing asset (NPA) ratio improved to 4.69 per cent as on December 31, 2023, as against 13.82 per cent as on December 31, 2022

Similarly, the net NPA also declined to 0.34 per cent, as compared to 1.08 per cent at the end of December 2022.

As a result provisioning and contingencies came down to Rs 320 crore in the December quarter, from Rs 784 crore in the same quarter of the last fiscal.

Provision Coverage Ratio (including Technical Write-Offs) stood at 99.17 per cent as on December 31, 2023.

During the quarter Capital Adequacy Ratio of the bank improved to 20.32 per cent, as compared to 20.14 per cent at the end of December 2022.

The bank has not raised capital during the December quarter and the earlier funds have been fully utilised, it said.

The government, which owns over 45 per cent stake in IDBI Bank, plans to sell its stake in the bank and the process could gather pace next financial year.

Meanwhile, life insurance behemoth LIC, which has a 49.24 per cent shareholding, is keen to hold strategic stake in the bank so that it can enjoy the benefit of bancassurance channel.
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Kotak Mahindra Bank Q3 results: Profit at Rs 3,005 crore


Private sector lender Kotak Mahindra Bank on January 20 reported a net profit of Rs 3,005 crore for the quarter ended December 31, 2023, growing by 7.6 percent on a year-on-year (YoY) basis but falling short of analyst expectations of a Rs 3,243 crore profit.


Additionally, to comply with the Reserve Bank of India's (RBI) latest measures on alternative investment funds (AIF), the bank made a provision of Rs 143 crore.


Kotak Mahindra Bank's net profit for the quarter grew to Rs 3,005 crore, 7.6 percent up from Rs 2,792 crore in the corresponding quarter last year.


The lender's net interest income (NII) was at Rs 6,554 crore, higher than market estimations of Rs 6,434 crore. Net interest margin (NIM) of the lender came in at 5.22 percent for the quarter.


Segment wise, the lender’s home loan portfolio grew 15 percent to Rs 1.02 lakh crore from Rs 89,112 crore in the corresponding quarter last year. The credit card portfolio jumped by 52 percent to Rs 13,882 crore from Rs 9,159 crore.


The bank’s asset quality improved during the October-December period with gross non-performing assets (NPAs) at 1.73 percent, down from 1.91 percent from the year-ago quarter. Net NPA came in at 0.34 percent against 0.48 percent.


According to Motilal Oswal Financial Services, asset quality was expected to improve to 1.63 percent and Net NPA at 0.34 percent but the reported numbers missed expectations.


Gross slippages for the quarter stood at Rs 1,177 crore, compared to Rs 748 crore last year.


The bank said that it has made a provision of Rs 143 crore on its AIF investments. “The bank made a Rs 143 crore provision (post-tax) on applicable alternate investment fund (AIF) investments pursuant to RBI’s circular dated December 19, 2023," the bank said in a press release.


The RBI on December 19, said that regulated entities, such as banks, non-bank lenders, and home financiers, cannot invest in alternative investment funds (AIFs) that have directly or indirectly invested in companies that have borrowed money from the lenders.


Advances of Kotak Mahindra Bank grew by 15.72 percent to Rs 3.59 lakh crore, compared to Rs 3.10 lakh crore last year. Whereas, deposits grew by 18.56 percent to Rs 4.08 lakh crore from Rs 3.44 lakh crore.


The current account and savings account (CASA) ratio of the bank stood at 47.7 percent. Average current deposits grew by 5 percent to Rs 59,337 crore compared to Rs 56,372 crore last year.


Unsecured retail advances (incl. Retail Micro Finance) as a percent of the net advances stood at 11.6 percent for the quarter, compared to 9.3 percent of total advances in the corresponding quarter last year.

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Union Bank of India Q3 Profit rises 60%


State-owned lender Union Bank of India reported a 60 percent rise in standalone net profit at Rs 3,589.91 crore for the fiscal third quarter. The net profit is in line with Motilal Oswal’s estimate of Rs 3,558.2 crore .


On sequential basis, net profit of the lender was up just 2.24 percent. In July-September quarter, Union Bank of India reported a net profit of Rs 3,511.42 crore.


On sequential basis, net profit of the lender was up just 2.24 percent. In July-September quarter, Union Bank of India reported a net profit of Rs 3,511.42 crore.


This was on back of improved asset quality and increase in net interest income.


The bank's gross non-performing asset (NPA) stood at 4.83 percent, down from 6.38 percent in the September quarter and 7.93 percent in the year-period, the lender said on January 20.

The bank's net NPAs stood at 1.08 percent against 1.30 percent in the pervious quarter and 2.14 percent in Q3FY23.


In absolute terms, the gross NPA of the banks stood at Rs 43,261.88 crore in October-December quarter, as against Rs 54,012.76 crore in a quarter ago period and Rs 63,770.16 crore in a year ago period.


Similarly, net NPA of the lender eased to Rs 9,351.23 crore in a reporting quarter, from Rs 10,471.01 crore in a quarter ago period and Rs 16,195.11 crore in a year ago period.


The net interest income (NII) of the lender in the reported quarter rose just 6.26 percent on-year to Rs 9,168 crore. In July-September quarter, NII stood at Rs 9,126 crore.


The non-interest income of the bank increased 15.29 percent on-year to Rs 3,774 crore. On sequential basis, net non-interest income rose 2.14 percent.


In October-December quarter, net interest margins (NIM) of the bank 3.08 percent, which was down 13 basis points (Bps) on-year and 10 bps on quarter.


One basis point is one hundredth of percentage point.


In a business update earlier this month, the lender reported a 10.67 percent year-on-year (YoY) growth in business at Rs 20.68 lakh crore in the December quarter.


The bank's total advances experienced an 11.44 percent YoY increase, reaching Rs 8.96 lakh crore, while deposits saw a notable 10.09 percent jump to Rs 11.72 lakh crore during Q3FY24.


Retail, Agri and MSME (RAM) segments of the Bank increased by 13.85 percent on-year , where 12.60 percent growth in Retail, 17.88 percent growth in Agriculture and 10.51 percent growth in MSME advances is achieved on a yearly basis.


RAM advances as a percent of Domestic Advances stood at 56.28 percent.


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IndusInd Bank Q3 Results: Net profit rises 17% YoY

 


Private lender IndusInd Bank on Thursday reported standalone net profit growth of 17% YoY at Rs 2,298 crore for the quarter ended December. It was Rs 1,959 crore in the year-ago period.

The profit was slightly above analysts' expectations. An ET Now Poll predicted PAT figure to be around Rs 2,272 crore.

Other income during the third quarter increased 15% YoY to Rs 2,396 crore against Rs 2,076 crore in the corresponding quarter of the previous year.

Provisions (other than tax) and contingencies fell 9% YoY to Rs 969 crore in the reporting period. The same stood at Rs 1,065 crore a year ago.

Operating profit (before provisions and contingencies) jumped nearly 10% YoY to Rs 4,042 crore in the third quarter against Rs 3,686 crore in the last year quarter.

On the asset quality front, gross non-performing assets (NPAs) declined to 1.92% in the said third quarter against 2.06% in the December 2022 quarter and 1.93% in the preceding September quarter.

Net NPAs, on the other hand, also fell to 0.57% from 0.62% a year ago.


The lender had a capital adequacy ratio of 17.86% as per Base III norms, down from 18.21% in the preceding quarter and 18.01% in the year-ago quarter. The CET 1 ratio in the reporting period was at 16.07%.

The Provision Coverage Ratio was consistent at 71%, as of December 2023. Net Interest Margin for the third quarter stood at 4.29%, flat compared with the preceding September quarter.

The bank's balance rose 10% YoY to Rs 4.88 lakh crore in the December quarter. Deposits stood at Rs 3.68 lakh crore, showing an increase of 13%, while advances rose 20% to Rs 3.27 lakh crore.


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Central Bank of India Q3 Net profit surges 57%


 Public sector lender Central Bank of India on January 19 reported a net profit of Rs 717.9 crore for the October-December quarter of financial year 2023-24, posting an 56.7 percent rise from Rs 458.22 crore a year ago.


The bank's gross non-performing asset (NPA) stood at 4.50 percent, down from 8.85 percent recorded last year. On the other hand, net NPA for the quarter stood at 1.27 percent, improving from 2.09 percent on a year-on-year basis.


Central Bank of India's net interest income (NII) increased by 14.45 percent to Rs 9355 crore for 9 9-month period ended on December 31, 2023, over the corresponding period of last year.

However bank's Net Interest Margin (NIM) improved to 3.33 percent (6 bps, for 9 month period ended on December 31, 23, over the corresponding period of last year. Bank's total income (Interest Income plus Non-Interest Income) for Q3FY24 improved by 19.68 percent, from Rs 7636 crore in Q3FY23 to Rs 9139 crore in Q3FY24.

Central Bank of India has having pan India presence with network of 4494 branches with 65.29 percent (2934 branches) in rural & semi-urban areas, 4083 ATMs, and 11207 BC Points with total of 19784 Touch Points as of December 2023.


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Bank of Maharashtra Q3 Net profit rises 34%


Bank of Maharashtra on January 16 reported a 33.61 percent on-year rise in its October-December quarter net profit to Rs 1,036 crore, on the back of rising net interest income and better asset quality.


Operating Profit has shown a growth of 27.32 percent on-year to Rs 2,012 crore for the third quarter of the current financial year as against Rs 1,580 crore in a similar period last year. The same has improved by 4.77 percent on-quarter.


In the reporting quarter, net Interest Income (NII) grew by 24.56 percent on-year to Rs 2,466 crore, as against Rs 1,980 crore in a similar period last year, Bank of Maharashtra said in an exchange filing. The same was up by 1.39 percent on a sequential basis.


Gross non-performing assets (NPA) of the bank declined to 2.04 percent as on December 31, 2023, against 2.94 percent as on December 31, 2022. Net NPA declined to 0.22 percent as on December 31, 2023, as against 0.47 percent as on December 31, 2022.


Provision Coverage ratio of the bank improved to 98.40 percent as on December 31,2023, as against 97.18 percent as on December 31, 2022.


Bank holds cumulative Covid-19 provision as contingency provision of Rs 1,200 crore as on December 31, 2023, release said.


In the reporting quarter, total business of the bank grew by 18.89 percent on-year to Rs 4.34 lakh crore.


Total Deposits rose 17.89 percent on-year in October-December to Rs 2.46 lakh crore. Gross Advances grew by 20.20 percent on-year Rs 1.89 lakh crore. Net Advances grew by 21.01 percent on-year to Rs 1.85 lakh crore.


RAM (Retail, Agri. & MSME) Business grew by 27.25 percent on-year basis. Retail advances grew by 21.91  percent to Rs  49,144 crore on-year basis. MSME advances grew by 29.14  percent on Y-o-Y basis to Rs 39,410 crore.


Total Basel III Capital adequacy ratio stood at 16.85 percent with Common Equity Tier 1 ratio of 11.56 percent.

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HDFC Bank Q3 Profit jumps 34%

 


HDFC Bank Ltd on Tuesday reported a 33.54 per cent year-on-year (YoY) rise in standalone net profit at Rs 16,372.54 crore for the December quarter compared with Rs 12,259.49 crore in the same quarter last year. The profit figure was largely in line with Street estimates. Net interest income (NII) for the quarter, which is interest earned less interest expended, rose 23.9 per cent YoY to Rs 28,470 crore compared with Rs 22,990 crore in the same quarter last year. The NII growth was slightly lower than analyst estimates of 25 per cent. 


Pre-provision operating profit jumped 24.3 per cent to about Rs 23,650 crore. Provisions for the quarter jumped to about Rs 4,220 crore from Rs 2,810 crore in the year-ago quarter. The private lender said its core net interest margin (NIM) stood at 3.4 per cent on total assets, and 3.6 per cent based on interest earning assets.


Gross non-performing assets were at 1.26 per cent of gross advances as on December 31, 2023, against 1.34 per cent as on September 30, 2023, and 1.23 per cent as on December 31, 2022. Net non-performing assets were at 0.31 per cent of net advances as on December 31.


Non-interest revenue for the quarter ended December 31, 2023 stood at about Rs 11,140 crore compared with Rs 8500 crore in the corresponding quarter ended December 31, 2022. Among the four components of other income, fees & commissions stood at Rs 6,940 crore billion against Rs 6,050 crore YoY.


Foreign exchange & derivatives revenue came in at Rs 1210 crore against Rs 1,070 crore YoY; net trading and mark-to-market gain stood at Rs 1,470 crore against a gain of Rs 260 crore YoY. Miscellaneous income, including recoveries and dividend, stood at Rs 1,520 crore against Rs 1,110 crore.


HDFC Bank said its operating expenses were up 28.1 per cent to Rs 15,960 crore over Rs 12,460 crore in the corresponding quarter last year. The cost-to-income ratio for the quarter was at 40.3 per cent.


The Bank's total Capital Adequacy Ratio (CAR) as per Basel II guidelines stood at 18.4 per cent against 19.4 per cent YoY. This is against a regulatory requirement of 11.7 per cent.


As of December 31, 2023, HDFC Bank's distribution network was at 8,091 branches and 20,688 ATMs across 3,872 cities / towns as against 7,183 branches and 19,007 ATMS across 3,552 cities / towns as of December 31, 2022. A total of 52 per cent of its branches were in semi-urban and rural areas.


"In addition, we have 15,053 business correspondents, which are primarily manned by Common Service Centres (CSC). The number of employees were at 2,08,066 as of December 31, 2023 (as against 1. ,66, 890 as of December 31, 2022)," the bank said in a BSE filing.


Domestic retail loans grew 111.1 per cent, commercial and rural banking loans grew 31.4 per cent and corporate, and other wholesale loans (excluding non-individual loans of eHDFC Ltd of approximately Rs 98,900 crore) grew 11.2 per cent. Overseas advances constituted 1.7 per cent of total advances.



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Bank of Maharashtra Q2 Net profit surges 72% on year

 


State-owned Bank of Maharashtra (BoM) has announced a profit of 71.8 per cent at Rs 919 crore year on year (Y-o-Y) at the end of the July-September quarter (Q2) for the financial year 2023-24 (FY24) in its consolidated results. The announcement came through a regulatory filing on BSE on Monday.


Last year, the bank recorded a profit of Rs 4,317 crore for the same period. The total income for this quarter also went up 32.8 per cent Y-o-Y at Rs 5,735 crore from Rs 4,317 crore.


Compared to the previous quarter that ended in March, profits rose by 4.2 per cent from Rs 882 crore, and income rose by 5.86 per cent from Rs 5,417 crore.


Net Interest Income (NII) went up 28.9 per cent to Rs 2,432 crore from Rs1,887 crore, Y-o-Y.


Gross non-performing assets (NPA) are down to 2.19 per cent in Q2FY24. Last year, during the same period, it was 3.40 per cent. Net NPA declined to 0.23 per cent at the end of the latest quarter compared to Q2FY23, when it stood at 0.68 per cent. In Q1FY24, gross NPA stood at 2.28 per cent and net NPA at 0.24 per cent.


Operating costs have gone up by 27 per cent compared to the same period last year at Rs 1,179 crore from Rs 927 crore. Quarter-on-quarter, it was a marginal growth of 6.67 per cent from Rs 1,105 crore.

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State Bank of India(SBI) Q2 Net profit rises 9.13%


State Bank of India (SBI), India's largest lender, on Saturday reported a 9.13% growth in consolidated net profit for the September quarter to ₹16,099.58 crore. It had reported a consolidated net profit of ₹14,752 crore in the year-ago period and ₹18,356 crore in the June quarter.


On a standalone basis, it posted a net profit of ₹14,330.02 crore as against ₹13,264.52 crore in the year-ago period. The net interest income (NII) grew at 12.3% year-on-year.


The bank reported a total income of over ₹1.12 lakh crore for the quarter under review, up from ₹88,733 crore in the year-ago period.


From an asset quality perspective, its gross non-performing assets ratio was at 2.55% as of September 30, an improvement from the 3.52% in the year-ago period and the 2.76% in the first quarter of the current fiscal.


Its overall capital adequacy stood at 14.28% as of September 30.


SBI Chairman Dinesh Khara said, "The outlook for domestic activity is brightening even as corporation de-leverage and post strong bottomlines. The growth is expected to gain momentum for the rest of the year. On external front, CAD is modest with sufficient forex buffers insulating the economy."


Kaitav Shah, Hd-BFSI, Anand Rathi Instl Eq said, "The numbers broadly seem to be in line with what has been the expectation. We just have to look at what kind of growth SBI did. I think they generally deliver in line with what the credit growth for the system has been? NII growth at ₹39,500 crore is very much in line with our expectation. We will just await what is happening at the pre-provisioning operating profit level to get a better view on or a sense on what the numbers have been. We were any which ways expecting a benign asset quality for this quarter."



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