Federal Bank Q2 PAT seen down 25% to Rs 162 cr: Poll

Private sector lender Federal Bank will announce its second quarter (July-September) numbers today. Analysts on an average expect further fall in profit of the bank in second quarter following a 44 percent decline Y-o-Y in profit in June quarter due to jump in provisions.

According to a CNBC-TV18 poll, profit after tax may slip 25 percent on yearly basis to Rs 162 crore in September quarter, but net interest income is likely to increase 4 percent Y-o-Y to Rs 528 crore.

Provisions will be closely watched by the street as it spiked 290 percent Y-o-Y and 150 percent Q-o-Q to Rs 245 crore in April-June quarter.

However, asset quality and net interest margin improved in first quarter so analysts are looking for further sustainability in September quarter.

Commentary on inflow on account of FCNR scheme will also be watched. Must Read - Need more clarity on FCNRs to lure investors: Federal Bank 

The Reserve Bank of India on September 4 offered a special concessional window to the banks to swap the fresh FCNR (B) dollar funds, mobilised for a minimum tenor of three years and over at a fixed rate of 3.5 percent per annum for the tenor of the deposit. FCNR(B) is foreign currency non-resident (banks).