Bandhan Bank CMD C.S. Ghosh started declaring Q1 Results for 2018-19 at Kolkata. Good result expected after Bandhan Bank goes public.
As expected Bandhan Bank Ltd on Wednesday reported a 47.5% jump in its Q1 Result in April – June 2018-19 quarter, net profit due to higher other income and net interest income. Net profit for the quarter parked at Rs 481.71 crore against Rs 326.56 crore against the same period in the previous year.
Net interest income (NII), or the core bread and butter income for a bank through the earnings by providing loans, was also up by 39.50% to Rs 1,037.17 crore from Rs 743.49 crore in the last year. Other income was at Rs 210.69 crore, up 72.75% from Rs 121.96 crore a year ago.
Gross non-performing assets (NPAs) surged 121.67% to Rs 388.34 crore at the end of the June quarter from Rs 175.19 crore in the same quarter last year.
As a percentage of total loans, gross NPAs stood at 1.26% as compared to 1.25% in the previous quarter and 0.93% in the year-ago quarter. Net NPAs were at 0.64% in the June quarter compared to 0.58% in the previous quarter and 0.56% in the same quarter last year.
Advances for the quarter saw positive growth of 52% to Rs 32,590 crore while deposits rose 37% to Rs 30,703 crore. Strong CASA ratio is also a positive indicator.
“The start of FY19 has been promising with advances growing year-on-year by 52%, overcoming the seasonality we normally witness during the first quarter. We will strive to maintain growth and the quality of assets during this financial year,” said Chandra Shekhar Ghosh, managing director and chief executive officer Mr. Samdhani of the bank.
Bandhan Bank’s shares were trading at Rs 580.45 on the BSE, up 3.28% from its previous close despite the benchmark Sensex index fell 0.08% to 36,490.08 points around 1 pm.
Expansion of branches are in the plan but the overseas operation is not in near future. Mr. Ghosh said the company will take the stride toward consolidating Indian operation first as a universal bank.