Federal Bank Q3 result: Federal Bank on January 16 reported a 54 percent jump in its December quarter net profit at Rs 803.61 crore on higher net interest income and lower provisions.
The Kochi-headquartered private lender had reported a net profit of Rs 521.73 crore in the year-ago quarter.
Provisions and contingencies declined 7.1 percent to Rs 198.69 crore from Rs 213.98 crore a year ago. Sequentially, too, they were down from Rs 267.86 crore in the September quarter.
Net interest income (NII), or the income a bank earns by giving loans, increased 27.1 percent to Rs 1956.53 crore from Rs 1,538.90 crore in the year-ago quarter. Other income rose 10.3 percent to Rs 534 crore from Rs 484.19 crore in the same period of the previous year.
Non-performing assets and net interest margins improved. Gross non-performing assets (NPAs) fell marginally 5.8 percent to Rs 4,147.85 crore at the end of the December quarter from Rs 4,401.26 crore in the same quarter of the previous year.
As a percentage of total loans, gross NPAs stood at 2.43 percent compared to 2.46 percent in the previous quarter and 3.06 percent in the year-ago period. Net NPAs were at 0.73 percent in the December quarter compared to 0.78 percent in the previous quarter and 1.05 percent in the same quarter last year.
Advances for the quarter rose 19.08 percent to Rs 1.71 lakh crore from a year ago. Deposits rose 15 percent to Rs 2 lakh crore
At 1.30 pm, Federal Bank shares were trading at 3 percent up at Rs 142.45 a share.
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