Jammu Kashmir Bank reported a 35 per cent growth in net profit to Rs 246 crore for April to June quarter on higher interest income and lower provisions.
The bank had posted a net profit of Rs 182 crore in the year-ago period.
Net interest income (difference between interest earned and interest expended) rose by 23 per cent to Rs 536 crore from Rs 437 crore in the same quarter lat year. Non interest income increased by 41 per cent to Rs 422 crore (from Rs 299 crore in Q1FY12).
Provisions during the quarter stood at Rs 50 crore as compared with Rs 84 crore in the January to March quarter. The bank’s provision coverage ratio as on June 30, 2012 stood at 94.09 per cent.
Gross non performing assets (NPAs) increased to Rs 541 crore from Rs 517 crore in the previous quarter. Percentage of gross NPAs was at 1.60 per cent (1.54 per cent in Q4FY12), while net NPAs marginally declined to 0.14 per cent (0.15 per cent in Q4FY12). Net Interest Margins stood at 3.84 per cent as on June 30, 2012.
Total advances increased by 26 per cent to Rs 33,225 crore, while deposits increased bygrew by 23 per cent to Rs 53,117 crore.
The shares of Jammu and Kashmir Bank ended 0.67 per cent higher to close at Rs 942 per share on the Bombay Stock Exchange.