From The Economic Times · Atmadip Ray · · 1m
Bandhan Bank Q2 Profit Surges
Bandhan Bank's Q2 profit jumps 5.6 times as asset quality improves.
In brief
Bandhan Bank's Q2 profit jumps 5.6 times as asset quality improves. Bandhan Bank reported a 5.6x Q2 profit jump to Rs 622 crore from Rs 112 crore, driven by lower provisions and improved asset quality. Originally reported by The Economic Times.
Bandhan Bank Q2 Profit
Bandhan Bank reported a 5.6 times jump in Q2 profit to Rs 622 crore from Rs 112 crore.
“Bandhan Bank posts its strongest profit in eight quarters as asset quality improves”
Asset Quality Improves
Gross non-performing assets ratio dropped to 3.11% from 5.02% year-ago.
“The Kolkata-headquartered private sector lender managed to reduce gross non-performing assets ratio to 3.11% at the end of September from 5.02% a year prior”
Provisions Decline
Provisions (other than tax) fell to Rs 718 crore from Rs 1,153 crore.
“The provisions (other than tax) and contingencies charged to the profit and loss account for the quarter were at Rs 718 crore compared with Rs 1,153 crore earlier”
Net Interest Margin Grows
Net interest margin improved to 6.1% from 5.8% year-ago.
“Its net interest margin for the second quarter improved to 6.1% from 5.8% in the same period last year”
Lending Expands
Gross advances grew 13% to Rs 1.58 lakh crore, deposits rose 9% to Rs 1.73 lakh crore.
“The bank's gross advances stood at Rs 1.58 lakh crore at the end of September, growing 13% year-on-year while deposits rose 9% to Rs Rs 1.73 lakh crore”
Management Statement
Managing director says this is best profit in last eight quarters, driven by diversified portfolio.
“I would like to highlight that this is the best profit number in the last eight quarters, instead of the 5.6 times rise, which is a reflection of steady growth helped by a shift towards a more secular and diversified advance portfolio”
In short
Bandhan Bank reported a 5.6x Q2 profit jump to Rs 622 crore from Rs 112 crore, driven by lower provisions and improved asset quality.
