Dhanlaxmi Bank Q3 result, Reports net profit

Private sector lender Dhanlaxmi Bank Friday reported a net profit of Rs 16.90 crore for the third quarter ended December 2018.

The bank had posted a loss of Rs 21.74 crore in the corresponding period of the previous financial year.

Also read- Q3FY19 Results of all Public & Private Sector banks in India 

Total income rose to Rs 272.16 crore during the quarter under review as against Rs 270.11 crore in the year-ago period, it said in a regulatory filing.

Gross non-performing assets (NPAs) rose to 8.11 per cent of the total advances, from 6.96 per cent at the end of the third quarter of 2017-18.

However, net NPAs declined to 2.93 per cent from 4.08 per cent a year ago.

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Jammu & Kashmir (J&K) Bank Q3 net profit up 43%

Jammu & Kashmir Bank has reported 43% increase in its net profit at ₹ 103.75 crore for the third quarter ended December 2018.

The bank had earned a profit of Rs. 72.47 crore in the October-December quarter of previous fiscal, the bank said in a statement.

Total income of the bank rose to Rs. 2,184.22 crore as against Rs.1,790.77 crore in the same period a year ago.

The gross non-performing assets (NPAs) as a percentage of total advances by end of December 2018 fell to 9.94 per cent as against 10.08 per cent as on December 31, 2017, it said.
Also read- Q3FY19 Results of all Public & Private Sector banks in India 

However, net NPAs rose marginally to 4.59 per cent of the net loans from 4.29 per cent in the corresponding period a year ago.

The NPA coverage ratio, though static on a year-on-year basis and still comparable with the best in the industry, has seen a dip on sequential basis to 65.82 per cent mainly on account of downgrade of IL&FS which reflects that the bank has been able to tide over the IL&FS shock without any major deterioration in the balance sheet parameters, it said.

From now onwards, the bank will focus on the transformation exercise by aggressively implementing the business plan 2022 prepared in consultation with management consultants and expects to clock a profit of ₹ 2,000 crore by end of 2022.

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City Union Bank Q3 profit rises 15%

City Union Bank(CUB)’s total income also improved by 10.07 per cent to Rs. 1,086.45 crore during the quarter, against the previous year’s income of Rs. 987.05 crore

Net profit of City Union Bank (CUB) rose by 15 per cent to Rs. 178.10 crore in the third quarter of FY19 against the Rs. 154.80 crore the lender recorded in the same period last year.

Gross profit of the bank improved marginally by 4 per cent to Rs. 306.8 crore (Rs. 296.5 crore) on a year-on-year basis as on December 2018. The bank’s interest income grew by 11.70 per cent to Rs. 966.62 crore from Rs. 865.36 crore in the same period last year.

Net interest income of the bank increased from Rs. 365.14 crore recorded last December to Rs. 418.09 crore in the current year, marking a 15 per cent increase on year-on-year basis. Net interest margin (NIM) of the bank stood at 4.41 per cent.

Also read- Q3FY19 Results of all Public & Private Sector banks in India 

CUB’s total income also improved by 10.07 per cent to Rs. 1,086.45 crore during the quarter, against the previous year’s income of Rs. 987.05 crore. While the gross non-performing assets (NPAs) of the bank improved from 3.30 per cent in December 2017 to 2.91 per cent during the current year, net NPA remains unchanged at 1.74 per cent on year-on-year basis.

“Although slippage ratio for Q2 is at 2.16 per cent, overall, we are seeing a decreasing trend in NPA,” said N Kamakodi, MD and CEO, City Union Bank.

Gross NPA in value saw an increase of 4 per cent to Rs. 891 crore (Rs. 860 crore), while net NPA increased by 18 per cent to Rs. 528 crore (Rs. 448 crore).

“We have said that our incremental slippage ratio for the current year to closing advances will be 1.75 to 2 per cent and we are already on our target,” Kamakodi added

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ICICI Bank Q3 profit down 3%

Private sector lender ICICI Bank posted a 2.7 percent year-on-year (YoY) drop in its December quarter net profit at Rs 1,604.91 crore. The asset quality also improved in Q3 with an improvement in both gross and net non-performing asset (NPA) ratio.

The bank said its net NPA ratio decreased to 2.58 percent in the December quarter from 3.65 percent in the September quarter. This is the lowest in the last 12 quarters. It was 4.2 percent in Q3FY18.

Gross NPA ratio dropped to 7.75 percent in the December quarter compared to 7.82 percent a year ago and 8.54 percent in the September quarter. Gross NPA additions decreased from Rs 3,117 crore in Q2FY19 to Rs 2,091 crore in Q3FY19, which the bank said was the lowest in the last 14 quarters.

Also read- Q3FY19 Results of all Public & Private Sector banks in India 

The bank also said gross NPAs amounting to Rs 4,063 crore were recovered/upgraded/resolved through sale in Q3. Provisions rose by 18.8 percent YoY to Rs 4,244 crore in the third quarter.

The bank's net interest income (interest earned minus expended) was up 21 percent YoY at Rs 6,875 crore in Q3FY19. The net interest margin was 3.4 percent in Q3FY19 compared to 3.33 percent in the year-ago period.

Non-interest income, excluding treasury income, was Rs 3,404 crore ($488 million) in Q3FY19 compared to Rs 3,101 crore ($444 million) in Q3FY18. · Fee income grew 16 percent YoY to Rs 3,062 crore ($439 million) from Rs 2,639 crore ($378 million) in the previous quarter. Retail fee constituted 73 percent of total fees.

CASA (current account savings account) deposits increased 15 percent YoY to Rs 2.99 lakh crore at the end of Q3FY19. CASA ratio was 49.3 percent at December 31, 2018, compared to 50.8 percent as of September 30, 2018, and 50.4 percent as of December 31, 2017.

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Oriental Bank of Commerce(OBC) posts net profit in Q3FY19

State-owned Oriental Bank of Commerce (OBC) on Tuesday reported a net profit of Rs 145 crore for the December 2018 quarter, on improvement in asset quality and increase in business efficiency.

It had posted a net loss of Rs 1,985 crore in the corresponding quarter of the previous financial year, OBC said in a regulatory filing.

Total income rose to Rs 5,128 crore during the third quarter, compared with Rs 4,756 crore a year ago.

The lender said it has improved on its efficiency with the net interest margin consistently rising from 1.95 per cent in the December quarter of 2017-18 to 2.80 per cent in the third quarter of this year. Sequentially, it increased from 2.58 per cent in the second quarter of this fiscal.

The bank's cost-to-income ratio also improved to 49.50 per cent in the quarter, from 50.87 per cent a year ago and 50.19 per cent in the second quarter.

Also read- Q3FY19 Results of all Public & Private Sector banks in India 

Net interest income, difference between interest earned and expended, increased to Rs 1,419 crore, compared with Rs 1,018 crore a year ago and Rs 1,275 crore in the previous quarter.

Meanwhile, OBC said it would issue more than 2.61 crore new equity shares under the employee purchase scheme at a price of Rs 71.76 per share.

The bank is expected to raise up to Rs 187.52 crore in this issue that is slated to offer for subscription by employees on January 31.

Moreover, the Gurugram-based lender also reported that its asset quality has also improved with gross non-performing assets (NPAs) falling to 15.82 per cent of the total advances in the quarter, against 16.95 per cent in the year-ago period.

Net NPAs stood at 7.15 per cent as compared with 9.52 per cent.

Value-wise, gross NPAs were Rs 24,352.98 crore in the December 2018 quarter, against Rs 27,550.88 crore a year ago. Net NPAs stood at Rs 9,972.61 crore as against Rs 14,195.07 crore. Provisions for bad loans, however, increased to Rs 4,082 crore in the quarter, from Rs 2,340 crore parked aside a year ago.

The bank said it made cash recovery of Rs 543 crore in written-off bad debt in the nine months to December 2018, up from Rs 149 crore during same period of the preceding fiscal.

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Bank of Baroda(BoB) Q3 net profit up 321%

Bank of Baroda posted a 321.6 percent year-on-year (YoY) increase in its December quarter net profit at Rs 471.21 crore on strong growth in interest income and improved asset quality.

Net interest income (difference between interest earned and expended) increased to Rs 4,744 crore in Q3. Adjusting for IT refund of Rs 326 crore in December 2017, NII increased by 16.62 percent YoY. The domestic core fee income increased by 16.11 percent YoY to Rs 771 crore.

"With the bank on-boarding corporate customers on the basis of a well-defined target market and retail customers on a score-based approach, the credit quality of recently acquired portfolio has shown distinct improvement as measured by credit score external ratings available with credit rating agencies," Bank of Baroda said in a statement.

Provision for bad loans was at Rs 3,416 crore in Q3, up from Rs 3,155 crore in the year ago period.

Also read- Q3FY19 Results of all Public & Private Sector banks in India 

Gross non-performing assets (NPA) ratio stood at 11.01 percent for Q3FY19 compared to 11.31 percent a year ago, and 11.78 percent in the September quarter. Net NPA ratio declined to 4.26 percent in Q3Fy19 compared to 4.97 percent a year ago and 4.86 percent in the September quarter.

The bank's Net Interest Margin (NIM) improved to 2.69 percent in Q3FY19 from 2.61 percent in the previous quarter.Domestic advances grew by 21.13 percent YoY to Rs 3,52,472 crore. This was led by retail loans which grew by 32.58 percent, the bank said.

It added that fresh slippage was at Rs 2,933 crore on account of Rs 1,169 crore slippage of IL&FS. Adjusting for IL&FS, it said that fresh slippage is at the lowest level since June 2015.

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Axis Bank Q3 result, net profit jumps 131%

Private sector lender Axis Bank on Tuesday reported over two-fold jump in net profit to Rs 1,680.85 crore for the third quarter ended 31 December.

The bank had posted a net profit of Rs 726.44 crore in the corresponding period of the previous fiscal. The net interest income grew 18 percent to 5,604 crore in the third quarter this fiscal.

Total income during the quarter under review rose to Rs 18,130.42 crore as against Rs 14,314.63 crore in the year-ago period, Axis Bank said in a regulatory filing.

Net non-performing assets (NPAs) stood at 2.36 percent of the net advances as on 31 December, 2018, down from 2.56 percent by the end of December 2017. Gross NPAs (or bad loans), however, worsened to 5.75 percent of the gross advances, up from 5.28 percent a year ago.

Axis Bank’s strategy for the next three years would pivot around delivery of three important vectors – growth, profitability and sustainability, said Axis Bank managing director and CEO Amitabh Chaudhry.

Also read- Q3FY19 Results of all Public & Private Sector banks in India 

"I believe that Axis Bank as a franchise is uniquely positioned to leverage this opportunity and regain its past momentum on growth and profitability quickly. Our market share is still only 4% on deposits and 4.7% on loans," he said.

In value terms, the gross NPAs stood at Rs 30,854.67 crore in December quarter as against Rs 25,000.51 crore in the same period previous year. Net bad loans were Rs 12,233.29 crore as against Rs 11,769.49 crore.

The bank said it has witnessed healthy loan growth during the quarter, with domestic loan rising by 18 percent year-on-year; while retail loan book grew by 20 percent. Its retail advances constitute 49 percent of the total advances, Axis bank said.

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RBL Bank Q3 net profit rise 36%

Private sector lender RBL Bank’s net profit rose by 36 per cent at Rs 225.2 crore for the third quarter ended December 2018, on the back of improvement in interest margins and robust other income. 

The lender had posted a net profit of Rs 165.3 crore in the October-December 2017 (Q3FY18).

The RBL stock was trading 2.4 per cent lower at Rs 560 a share on BSE.

Its Net Interest Income (NII), or interest earnings minus expenses, was up by 40 per cent to 655.1 crore. The Net Interest Margins (NIM) rose to 4.12 per cent for Q3Fy19 from 3.89 per cent for Q3FY18, RBL said in a statement.

The other income consisting of revenues from treasury operations, fees and commissions etc grew by 40 per cent to Rs 374 crore for Q3FY19. 

The bank, which is a medium sized lender in the Indian banking space, reported a 35 per cent rise in its loan book at Rs 49,892 crore, and its deposits were also by 35 per cent at Rs 52,187 crore at end of December 2018.

Also read- Q3FY19 Results of all Public & Private Sector banks in India 

Reflecting better cost management, the private lender's cost-to-income ratio stood at 51.6 per cent in reporting quarter, compared with 54 per cent in same quarter in Fy18.

Its asset quality also improved, with gross non-performing asset (NPA) ratio at 1.38 per cent, compared with 1.56 per cent in Q3FY18. The Net NPA ratio also improved to 0.72 per cent from at 0.97 per cent in Q3 FY18. The provision coverage ratio was better at 63.22 per cent from 52.54 per cent in Q3 FY18.

RBL's capital adequacy ratio stood at 12.86 per cent against 15.03 per cent as at December 31, 2017.

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