Chennai, July 25
Karur Vysya Bank has reported an impressive performance for the June 2022 quarter with a doubling of net profit, reduction in NPA and growth in credit offtake.
The old private sector bank has more than reported its net profit at ₹229 crore for the June 2022 quarter as compared to ₹109 crore in the year-ago quarter, according to a statement.
The bank’s operating profit increased to ₹475 crore from ₹412 crore, an increase of 15 per cent.
Karur Vysya Bank upbeat about loan growthBank reported a seven per cent year-on-year growth in gross advances as on December 31, 2021
Net interest income grew by 17 per cent at ₹746 crore (₹638 crore in the year-ago quarter). The net interest margin was at 3.82 per cent, up from 3.55 per cent a year ago. Non-interest income for the June 2022 quarter fell to ₹199 crore (₹203 crore).
Operating expenses were higher at ₹469 crore (₹429 crore). Total expenditure (excluding provisions and contingencies) stood at ₹1,197 crore as compared to ₹1,167 crore in Q1 of the previous fiscal. NPA provision was lower at ₹140 crore (₹278 crore).
Net NPAs down
Slippages were higher at ₹61 crore (₹27 crore). However, Gross NPA declined to 5.21 per cent (₹3,107 crore) during the June 2022 quarter as compared to 7.97 per cent a year ago. GNPA stood at 5.96 per cent as of March 31, 2022. Net NPA also fell to 1.91 per cent (₹1,098 crore) as compared to 3.69 per cent in the year-ago quarter and 2.28 per cent in March 2022 quarter.
Total deposits grew by 11 per cent at ₹71,168 crore as compared to ₹64,398 crore a year ago. CASA share was up by 118 bps to 36.42 per cent from 35 per cent a year ago. CASA deposits grew 14 per cent on a Y-o-Y basis to ₹25,916 crore (Rs.22,688 crore a year ago).
Gross advances increased by 14 per cent Y-o-Y to ₹59,612 crore as compared to ₹52,315 crore a year ago. Advances in agriculture, retail (personal banking), commercial and corporate segments grew 15 per cent (at ₹13,611 crore), 11 per cent (₹13,598 crore), 16 per cent (₹18,677 crore and 13 per cent (₹13,726 crore), respectively.
In ₹59,612 crore advances, manufacturing and jewel loan segments accounted for 25 per cent each. Personal segment loans and the trading category accounted for 14 per cent and 13 per cent, respectively. In the corporate loan book, about 68 per cent of corporate loans are less than ₹100 crore and the average ticket size is about ₹38 crore.