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RBL Bank Q2 net up 68% at Rs 150 cr

It had posted net profit of Rs 90 crore in July-September 2016 (Q2 FY17)

Abhijit Lele  |  Mumbai 

RBL Bank Q2 result
Vishwavir Ahuja, MD and CEO, RBL Bank at a press conference in Mumbai (Pic: Suryakant Niwate)

Private sector lender has posted a 68 per cent rise in net profit at Rs 150 crore in second quarter ended September 2017 (Q2 FY18) on improvement in the interest margins and other income.

It had posted net profit of Rs 90 crore in July-September 2016 (Q2 FY17).

Its net interest income rose 39 per cent to Rs 420 crore in Q2 FY18 from Rs 302 crore a year ago period. The net interest margin (NIM) improved by 33 basis points to 3.74 per cent in Q2 FY18 from 3.41 per cent in Q2 FY16.

Vishwavir Ahuja, managing director & Chief executive officer, said NIM is expected to stay around 3.75 basis points.

Its other income comprising revenues from treasury operations, fees, commissions was up 43 per cent at Rs 241 crore in Q2Fy18 from Rs 169 crore in Q2Fy17.

The Bank’s net advances rose by 35 per cent on a year-on-year basis at Rs 33,576 crore at end of September 2017 from Rs 24,875 crore a year ago.

Ahuja said “loan book will grow at over 30 per cent rate. But further, push for growth will not be prudent as there are still risks in the environment. We have to maintain a good quality of assets.”

The Bank’s deposits rose by 31 per cent on year on year basis to Rs 36,569 crore from Rs 27,959 crore. The share of low cost of deposits – Current Account and Savings Account (CASA) -- increased to 23.67 per cent as at September 30, 2017 from 19.89 per cent as at September 30, 2016. CASA ratio was 21.98% as at March 31, 2017.

The Bank’s capital adequacy ratio was 15.95 per cent with Tier-1 capital adequacy ratio was 13.87 per cent at end of September 2017.

First Published: Wed, October 25 2017. 17:41 IST