Moneycontrol Bureau
Private sector lender Federal Bank reported 9 percent growth in profit after tax and 9.71 percent in net interest income for the quarter ended December 2013 compared to a year ago period.
Net profit of the bank stood at Rs 230 crore as against Rs 211 crore while net interest income, the difference between interest earned and interest expended, rose to Rs 545.6 crore from Rs 497.3 crore year-on-year.
Total expenses jumped 15.6 percent on yearly basis to Rs 1,540 crore in the quarter gone by. The profitability was boosted by improvement in asset quality and fall in provisions.
Asset quality
Gross non-performing assets (NPA) declined 56 basis points sequentially (102 bps Y-o-Y) to 2.83 percent while net NPA fell 12 bps quarter-on-quarter (6 bps Y-o-Y) to 0.86 percent during December quarter.
Provisions and contingencies dropped to Rs 7.3 crore during October-December quarter as against Rs 74.4 crore in a year ago period and Rs 11 crore in earlier quarter.
At 13:28 hours IST, the stock was trading at Rs 80.75, down 1.16 percent on the BSE.
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