Bank of Maharashtra posts net profit in Q3FY20

State-run Bank of Maharashtra on Monday reported a net profit of Rs 135 crore in the quarter ended December against a net loss of Rs 3,764 crore in the year-ago period.

On quarter-on-quarter basis, the lender had reported a net profit of Rs 115 crore.

"Net profit increased to Rs 135 crore in the quarter supported by an increase in net interest income, robust recovery and control on expenses," the bank said in a statement.

Net interest income (NII) rose 36 per cent to Rs 1,186 crore.

Net interest margins (NIM) stood at 2.86 per cent compared to 2.41 per cent in the year-ago period.

Net NPAs (non-performing assets) stood at 5.46 per cent or Rs 4,507 crore as against 5.91 per cent or Rs 4,647 crore.

During the quarter, it classified Rs 72,019 crore of loans as fraud and holds a 100 per cent provisioning on these accounts.

The bank said it sees a very bleak chances of recovery from a few accounts and have adequately made provision.

In the April-December period, it made 100 per cent provision for 25 such accounts and 50 per cent provision for three accounts.

Total provision for these accounts as of December 31, 2019 stood at Rs 2,403.37 crore. It restructured 3,445 MSME accounts worth Rs 24,747 lakh in the second quarter as per the January 1 circular of the RBI.

Capital adequacy ratio increased to 11.21 per cent against 11.049 per cent and tier 1 ratio stood at 9.44 per cent as of December-end.

Total business grew by 4.55 per cent to Rs 2,35,867 crore.

Deposits was up by 4.4 per cent to Rs 1,41,986 crore while credit stood at Rs 93,882 crore as on December 31, 2019.

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Kotak Mahindra Bank Q3 net profit up 23.6% t

Kotak Mahindra Bank Ltd on Monday reported a 23.6% year-on-year increase in its standalone net profit for the December quarter to ₹1,595.90 crore, largely led by higher other income and lower tax expenses. Sequentially, however, net profit declined 7.5%.

The private lender’s net interest income (NII) rose 17.2% year-on-year to ₹3,429.53 crore during October-December. On a quarterly basis, NII rose 2.4%.

Other income surged 37.34% from a year ago to ₹1,341.43 crore during the reporting quarter.

Lower tax outgo also boosted the lender’s bottomline. Tax expenses stood at ₹348.17 crore, down 48.8% from a year ago.

Asset quality weakened during the quarter, with gross non-performing assets (NPAs) increasing 31.1% year-on-year to ₹5413.20 crore. Gross NPAs as a percentage of advances for the quarter was at 2.46% compared with 2.32% a quarter ago and 2.07% a year ago. Provisions and contingencies of the lender stood at ₹444 crore during October-December, up 8.5% from ₹407.93 crore in the last quarter.

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Federal Bank Q3 net profit rises 32%

Federal Bank Ltd on Monday said its third quarter net profit rose 32% on the back of higher other income and lower provision.

The bank posted a net profit ₹440.64 crore for the three months ended 31 December compared to ₹333.63 crore in the year-ago period. Profit was higher than ₹412.7 crore estimated by a Bloomberg poll of 15 analysts.

Net interest income, or the difference between interest earned on loans and that paid on deposits, increased 7.21% to ₹1,154.93 crore from ₹1,077.29 crore in the corresponding period last year.

Other income, which includes core fee income, rose 18.03% to ₹407.86 crore in the three months from ₹345.55 crore a year ago.

Gross non-performing assets (NPAs), as a percentage of total advances, were at 2.99% in the December quarter compared with 3.07% in the September quarter and 3.14% in the year-ago December quarter.

Provisions during the quarter decreased 15.39% to ₹160.86 crore as against ₹190.12 crore in the year-ago quarter. In the July-September quarter, the bank had set aside ₹251.77 crore in provisions.

Post-provision, the net NPA ratio was at 1.63% against 1.59% in the July-September quarter and 1.72% in the year-ago quarter.

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Tentative date of results of Public Sector Banks for Q3FY20

Allahabad Bank                  Result Date -   11 Feb, 2020
Andhra Bank                      Result Date -   5 Feb, 2020
Bank of Baroda                  Result Date -   24 Jan, 2020
Bank of India                      Result Date -   31 Jan, 2020
Bank of Maharashtra          Result Date - 20 Jan, 2020
Canara Bank                      Result Date -  23 Jan, 2020
Central Bank of India         Result Date -   28 Jan, 2020
Corporation Bank               Result Date -   07 Feb, 2020
Indian Bank                        Result Date -  24 Jan, 2020
Indian Overseas Bank        Result Date -  10 Feb, 2020
Oriental Bank of Com.        Result Date -   23 Jan, 2020
Punjab & Sind Bank            Result Date -   10 Feb, 2020
Punjab National Bank         Result Date -   4 Feb, 2020
State Bank of India             Result Date -   31 Jan, 2020
Syndicate Bank                  Result Date -   11 Feb, 2020
UCO Bank                          Result Date -   06 Feb, 2020
Union Bank of India            Result Date -  10 Feb, 2020
United Bank of India           Result Date -   06 Feb, 2020

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HDFC Bank Q3 profit jumps 33%, but asset quality weakens, provisions spike

Private sector lender HDFC Bank on January 18 has registered a whopping 33 percent year-on-year growth in third quarter profit, driven by other income and operating income, but asset quality weakened along with deterioration in provision coverage ratio. Lower tax cost also boosted profitability.

Profit during the quarter increased to Rs 7,416.5 crore, from Rs 5,585.85 crore in same period last year.

Net interest income, the difference between interest earned and interest expended, grew by 12.7 percent to Rs 14,172.9 crore compared to year-ago with loan growth of 19.9 percent and deposits growth of 25.2 percent YoY.

CASA deposits in Q3 grew by 21.5 percent and time deposits increased by 27.7 percent YoY, the bank said, adding the continued focus on deposits helped in the maintenance of a healthy liquidity coverage ratio at 140 percent, well above the regulatory requirement.

Net interest margin for the quarter remained stable at 4.2 percent, it said.

Asset quality was weak with gross non-performing assets (NPA) as a percentage of gross advances rising 4bps QoQ to 1.42 percent and net NPA climbing 6bps QoQ to 0.48 percent in quarter ended December 2019.

But excluding the portion of agricultural segment, gross NPA remained flat at 1.2 percent QoQ.

Provisions and contingencies jumped 37.6 percent YoY (12.7 percent QoQ) to Rs 3,043.56 crore during October-December quarter.

"Numbers were slightly better and yes the asset quality and provisioning coverage ratio (PCR) weakened but the NPA is fine considering the seasonality factor (agricultural NPA)," Ravikant Bhat of IndiaNivesh told CNBC-TV18.

Siddharth Purohit of SMC Institutional Equities also agreed with Bhat, saying this quarter is always seasonally weak quarter in terms of asset quality, but the bank generally recovered the same in following quarters, so overall it is very good quarter and the market will take it positively. "I am okay with numbers."

Other income (non-interest income) increased significantly to Rs 6,669.28 crore for the quarter, up 35.5 percent YoY as its main component fees and commissions grew by 24.1 percent, said the HDFC Bank in its BSE filing.

Miscellaneous income including recoveries and dividend more than doubled to Rs 940.4 crore (from Rs 402.6 crore YoY) during the quarter as recoveries included one-off item of approximately Rs 200 crore arising from resolution fo a NCLT matter, it added.

Pre-provision operating profit (PPoP) grew by 20.1 percent year-on-year to Rs 12,945.41 crore in Q3FY20. The cost-to-income ratio for the quarter at 37.9 percent improved from 38.4 percent in same period last year.

Meanwhile, Keki Mistry, Chairman and Whole-Time Director, has relinquished his office as director of the bank, the lender said.

The board of directors duly approved the re-appointment of Malay Patel as an Independent Director and Kaizad Bharucha as an Executive Director, subject to the approval of the Reserve Bank of India and the

shareholders.

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South Indian Bank Q3 profit up 8%

Private sector lender South Indian Bank on Thursday posted a 7.9 per cent rise in net profit to Rs 90.54 crore for the third quarter ended December 31.

The bank had recorded a net profit of Rs 83.85 crore in the corresponding period of the previous financial year.

Total income of the lender improved to Rs 2,187.73 crore during the quarter under review, as against Rs 1,921.93 crore in the year-ago period, South Indian Bank said in a regulatory filing.

Gross non-performing assets (NPAs) rose to 4.96 per cent of the total advances, compared to 4.88 per cent at the end of the third quarter of previous fiscal.

However, net NPAs declined to 3.44 per cent in October-December 2019 from 3.54 per cent a year ago.

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Karnataka Bank Q3 profit falls 12%

Private sector lender Karnataka Bank on Thursday reported a 12 per cent decline in its net profit at Rs 123.14 crore for the third quarter ending December 31, 2019 on account of rise in bad loans.

The Mangalore-headquartered bank had reported a net profit of Rs 140.41 crore in the year-ago period, the bank said in regulatory filing.

However, the total income of the bank rose to Rs 2,023.68 crore from Rs 1,815.79 crore in the same quarter a year ago.

The gross non-performing asset (NPA) of the bank rose to 4.99 per cent of assets from 4.45 per cent in the year-ago period.

Similarly, the net NPA too increased to 3.75 per cent from 3 per cent during September-December 2018.

As a result, provisions (other than tax) and contingencies rose to Rs 314.70 crore from Rs 208.99 crore in the third quarter of the previous fiscal.

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UFBU 's call for strike - See the Schedule

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