Higher int income drives Allahabad Bank's Q4, net up 55%

Moneycontrol Bureau

Public sector lender Allahabad Bank on Saturday reported a 55% year-on-year jump in its fourth quarter (Jan-March) net profit at around Rs 400 crore aided by higher interest income and lower provisions. Net interest income or the difference between interest earned and paid out, rose nearly 12% y-o-y to Rs 1.288 crore.

Provisions and contingencies fell marginally by more than 2% y-o-y to Rs 454 crore. However, the gross non-performing (NPA) ratio increased to 1.83% compared with 1.74% in Q4, FY11. Net NPA ratio too deteriorated from 0.79% to 0.98%.

In FY12, net profit climbed more than 31% to Rs 1,867 crore. During the fiscal, the bank's loan book expanded nearly 19% y-o-y to Rs 1.11 lakh crore, surpassing the Reserve Bank of India's credit growth projection of 16% in FY12. Deposits grew 21% y-o-y to Rs 1.60 lakh crore.

The bank's capital adequacy ratio stood at 12.83% as against 12.96% a year back.

"During the year, the bank has allotted 2.38 lakh crore equity shares of Rs 10 each at a premium of Rs 182.94 per share to Life Insurance Corporation of India on preferential basis," the bank said in a release.

"The total amount of capital received by the bank on this account is Rs 459 crore and consequently the government of India holding has decreased from 58% to 55.24%."

The lender proposed to pay a dividend of Rs 6 per share.

saikat.das@network18online.com