South Indian Bank Q1 profit rises to 3-fold

Improved performance in treasury and credit areas has enabled Kerala-based South Indian Bank to improve its operating profit as well as net profit in the first quarter of the current fiscal.

The bank has achieved a net profit of ₹73.26 crore in Q1 of FY19, against ₹23.04 crore during the corresponding period of the previous year. The bank’s operating profit has also grown to ₹317.63 crore from ₹269.64 crore.

Net interest income registered a growth of 8.38 per cent and other income registered a growth of 24.68 per cent. Gross NPA was stable, with a rise of only four basis points.

According to VG Mathew, Managing Director and CEO, the growth in MSME, Retail and Agriculture advances is in line with the focus. The bank has been able to contain slippages within the guidance of ₹250 crore accretion in NPA per quarter. The bank has also been able to meet the targeted levels of recovery/upgrades, which helped contain the GNPA and NNPA. The provision coverage ratio has improved to 45 per cent from 39 per cent a year ago.

He added that the retail strategy has strengthened its balance sheet. The retail portfolio has grown at 25.46 per cent, and already accounts for 30 per cent of the loan book.

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IDFC First Bank posts net loss in Q1FY20

Private sector lender IDFC First Bank reported a net loss of ₹617.35 crore in the quarter ended June 30, 2019 as against a net profit of ₹181 crore a year ago.

“This was primarily due to additional provisioning for two identified stressed Corporate Loans to a Housing Finance Company and a Financial Services company (recently downgraded by credit rating agencies), taking the provision coverage on these accounts to 75 per cent,” the lender said in a release late on Wednesday evening, adding that the provisions on these accounts is adequate and it does not expect to take any more provisions on this account in the near future.

Provisioning during the first quarter of 2019-20 increased to ₹1,280 crore, as against ₹33.99 crore made in the June quarter of the last fiscal. Its gross non-performing assets stood at 2.66 per cent of gross advances as on June 30, 2019 as compared to 3.24 per cent a year ago while net NPAs were 1.35 per cent at the end of the first quarter this fiscal from 1.63 per cent a year ago.

The bank said that the asset quality in the retail loan business remains stable and the rest of the portfolio continues to perform normally, with no major concerns being witnessed in the rest of the loan book.

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Bank of Baroda(BoB) Q1 result, net profit rises 34%

Bank of Baroda on Thursday said its first quarter net profit rose 34% on the back of higher net interest income and other income.

The state-owned lender posted a net profit ₹710 crore for the quarter ended 30 June compared to ₹528 crore in the year-ago period. Profit was lower than ₹857 crore estimated by a Bloomberg poll of 17 analysts.

Net interest income, or the difference between interest earned on loans and that paid on deposits, increased 48% to ₹6,498 crore from ₹4,381 crore in the corresponding period last year.

Other income, which includes core fee income, rose 67% to ₹1,916 crore in the three months from ₹1,148 crore a year ago.

Gross non-performing assets (NPAs), as a percentage of total advances, were at 10.28% in the June quarter compared with 9.61% in the Jan-Mar quarter and 12.46% in the year-ago June quarter.

Provisions during the quarter increased 52% to ₹3,285 crore as against ₹2,166 crore in the year-ago quarter. In the Jan-Mar quarter, the bank had set aside ₹5,399 crore in provisions

Post-provision, the net NPA ratio was at 3.95% against 3.33% in the Jan-Mar quarter and 5.40% in the year-ago quarter.

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State Bank of India (SBI) Recruitment for Specialist Cadre Officers Posts 2019

State Bank of India (SBI) has published an Advertisement for below mentioned Posts 2019. Other details like age limit, educational qualification, selection process, application fee and how to apply are given below in the advertisement.

Posts:

Deputy General Manager (Asset Liability Management): 01

Deputy General Manager (Capital Planning): 01

SME Credit Analyst (Sector Specialist): 11

SME Credit Analyst (Structuring): 04

SME Credit Analyst: 10

Credit Analyst: 30

Credit Analyst: 20

Total No. of Posts: 77

Educational Qualification: Please read Official Notification for Educational Qualification details.

Selection Process: Candidates will be selected based on an interview.

How to Apply: Interested Candidates may Apply Online Through official Website.

Notification :

Deputy General Manager (Asset Liability Management): Click Here

Notification for Other Posts: Click Here

Apply Online: DGM (Asset Liability Management) | DGM (Capital Planning) | Other Posts

Important Dates:

Starting Date of Online Application: 22-07-2019

Last Date to Apply Online: 12-08-2019

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Karur Vysya Bank Q1 net profit up 59%

Reduced burden of bad loans provisioning helped Karur Vysya Bank (KVB) report a 59 per cent jump in net profit at Rs 73 crore in the first quarter ended June 30, 2019 against Rs 46 crore in the year ago period.

The private sector bank's provisioning towards bad loans was 22 per cent lower at Rs 330 crore in the reporting quarter against Rs 423 crore in the year ago period. Net interest income (interest income less interest expended) was almost unchanged at Rs 584 crore (Rs 583 crore in the year ag period). Other income was up 6 per cent at Rs 270 crore (Rs 255 crore).

Gross non-performing assets increased to 9.17 per cent of gross advances against 8.79 per cent in the preceding quarter. The Bank's provision coverage ratio improved to 59.05 per cent in the June 2019 quarter against 56.50 per cent in the year ago quarter.

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Syndicate Bank Q1 result, loss narrows as NPA falls

State-run Syndicate Bank on Wednesday reported narrowing down of its net loss to Rs 980.46 crore in the quarter ended June 2019 due to a fall in provisioning for bad assets.

The bank had posted a net loss of Rs 1,281.77 crore in the same April-June quarter of the previous fiscal ended March 2019. Total income during the June quarter of 2019-20 rose to Rs 6,080.69 crore from Rs 56,37.51 crore in the year-ago period, Syndicate Bank said in a regulatory filing.

The bank’s asset quality witnessed a slight improvement with the gross non-performing assets (NPAs) falling to 11.76 per cent of the gross advances by the end of June 2019 quarter, from 12.59 per cent as on June 2018. Net NPAs or bad loan ratio fell to 5.06 per cent, as against 6.64 per cent a year ago period.

The overall provisioning for bad loans and contingencies for the quarter fell to Rs 1,969.09 crore from Rs 2,326.82 crore a year ago. The bank’s provision coverage ratio as on June 30, 2019, stood at 69.02 per cent. The lender said that it has restructured 5,065 MSME accounts and treated them as standard assets amounting to Rs 172.81 crore up to June end 2019.

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Canara Bank profit rises 17% in Q1FY20

Canara Bank wednesday reports its net profit in the June quarter rose 17% year-on-year because of lower provision and improved asset quality.

The bank posted a net profit of ₹329.07 crore for the three months ended 30 June compared with ₹281.49 crore in the year-ago period. Profit was higher than ₹284 crore estimated by analysts.

Gross non-performing assets (NPAs), as a percentage of total advances, were at 11.70 % in the June quarter compared with 11.90 % in the March quarter and 13% in the year-ago period.

Provisions during the quarter fell 26.46% to₹1,899.13 crore as against ₹2,582.30 crore in the year-ago quarter. In the Jan-Mar quarter, the bank had set aside ₹5,523.50 crore in provisions.

Net interest income, or the difference between interest earned on loans and that paid on deposits, decreased 16.54% to₹3,240.61 crore from ₹3,882.9 crore in the corresponding period of last year.

Other income, which includes core fee income, rose 1.58% to ₹1,861.87 crore in the three months from ₹1832.91 crore a year ago.

Post provision, the net NPA ratio was at 8.2% against 8.31% in the Jan-Mar quarter and 9.35% in the year-ago quarter.

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Indian Overseas Bank (IOB) Q1 result, loss narrows

State-owned Indian Overseas Bank (IOB) on Tuesday reported narrowing of its net losses to Rs 342.08 crore in the first quarter ended June 30.

Reduction in net loss was mainly due to lower provisioning and improved recovery, IOB said. The Chennai-based lender had posted a net loss of Rs 919.44 crore during the corresponding quarter of the previous financial year.

Its total income fell 6 per cent to Rs 5,006.48 crore in the three months to June of 2019-20 as compared with Rs 5,326.71 crore in the year-ago period, the lender said in a regulatory filing. The bank’s interest income grew 2.07 per cent to Rs 4,336.39 crore during the quarter, however, the non-interest income was down by 38 per cent to Rs 670.09 crore.

Even as the bank brought down its bad asset ratio, it remained elevated with the gross non-performing assets (NPAs) standing at 22.53 per cent (Rs 33,262 crore) of the gross advances at the end of June 2019, as against 25.64 per cent (Rs 38,146 crore) a year ago. Net NPAs or bad loans were 11.04 per cent (Rs 14,174 crore), down from 15.10 per cent (Rs 19,642 crore).

A fall in NPA proportion led to lowering in NPA provisions and contingencies at Rs 1,170.24 crore for the first quarter ended June, compared with Rs 2,051.03 crore parked aside for the corresponding period a year ago. IOB said it made a total recovery of Rs 2,238 crore during the June quarter, as against Rs 3,389 crore a year ago, while the total fresh slippage (other than debits to existing NPA accounts) stood at Rs 2,050 crore.

“Recovery achieved is higher than slippages during the quarter mainly due to focused efforts towards recovery. The bank has evolved a policy of not taking fresh exposures in stressed sectors, below hurdle rated accounts and BB and below rated accounts,” the bank said. IOB said it has also exited from accounts in stressed sectors and has rebalanced its credit portfolio with focus on RAM -- retail, agriculture and MSME (micro, small and medium enterprises).

Its total business stood at Rs 3.69 lakh crore as on June 30; total deposits were Rs 2.21 lakh crore. Gross advances stood at Rs 1.47 lakh crore by the end of the June quarter, down from Rs 1.51 lakh crore a year ago, as part of consolidation and reducing concentration risk, the lender said.

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