Indian Overseas Bank has set a target of Rs 2,500 crores in recoveries for Q4FY25, expecting significant contributions from "one or two" loan accounts in National Company Law Tribunal (NCLT), Ajay Kumar Srivastava, CEO of Indian Overseas Bank told Moneycontrol during a press meet on January 20, 2025.
The public sector undertaking has already made progress in nine months of this fiscal year, recovering Rs 3021 crores out of its planned Rs 5,500 crore target for FY25.
"We expect that the recoveries from one or two key accounts currently under NCLT will boost our performance in the fourth quarter," said Srivastava.
According the bank's investor's presentation report, its recoveries from technically written-off accounts stood at Rs 632 crores for the quarter ending December 2024, showing a notable increase from Rs 422 crores in the same quarter of the previous year, marking a growth of 49.76%.
In the period between April and December 2024, the recoveries reached Rs. 1,855 crores, which is a 30.92% increase compared to Rs. 1,417 crores in the same period last fiscal year.
On January 20, 2025, Indian Overseas Bank announced an increase in its net profit for the December quarter, with a 21% y-o-y rise to Rs. 875.27 crore, up from Rs. 724.14 crore in the same quarter of the previous year.
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