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Karur Vysya Bank maintained its double-digit growth in net profit in the first quarter of this fiscal, supported by higher interest and non-interest income and lower provisions.
The bank has reported a 28 per cent increase in its net profit at ₹459 crore for the quarter ended June 30, 2024, compared with ₹389 crore in the year-ago quarter.
The bank’s operating profit went up by 15 per cent to ₹746 crore compared with ₹648 crore. Net interest income grew by 14 per cent to ₹1025 crore (₹897 crore in the year-ago quarter).
Interest income rose to ₹2,285 crore from ₹1,883 crore in the June 2023 quarter, while non-interest income increased to ₹388 crore from ₹333 crore.
Total provisions and contingencies were lower at ₹133 crore compared with ₹159 crore. Slippages were lower at ₹17 crore (₹30 crore in June 2023 quarter).
NPAs decline
Gross NPA declined to 1.32 per cent during this June quarter from 1.99 per cent a year ago. GNPA was 1.4 per cent as of March 31, 2024.
Net NPA fell to 0.38 per cent as compared to 0.59 per cent in the year-ago quarter and 0.40 per cent in the preceding quarter.
The balance sheet size of the Bank stood at ₹108,874 crore as of June 30, 2024, as against ₹94,607 crore a year ago.
“We have another quarter of strong performance built on our guidance of three metrics – growth, profitability, and asset quality. Our total business crossed ₹170,059 crore and the inclusive growth from all the business segments has helped us post a net profit of ₹459 crore, said Ramesh Babu, Managing Director & CEO of Karur Vysya Bank.
Total business grew by 15 per cent at ₹170,059 crore compared with ₹147,671 crore a year ago.
Total advances increased by 16 per cent y-o-y to ₹77,710 crore compared with ₹66,956 crore a year ago. Advances in agriculture, retail (personal banking), commercial and corporate segments grew 17 per cent (at ₹18,135 crore), 21 per cent (₹18,840 crore), and 22 per cent (₹27.083 crore) respectively. Corporate segment credit grew marginally to ₹13,652 crore from ₹13,554 crore.
CASA share declined to 30 per cent from 33 per cent a year ago. CASA deposits grew by 6 per cent to ₹28,042 crore (₹26,549 crore a year ago).
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