CSB Bank Q2 profit at Rs 121 cr, total income rises to Rs 600.12 cr

CSB Bank on Friday reported a marginal uptick in net profit at Rs 120.55 crore for the quarter ended September 2022 on growth in net interest income.

The bank had posted a net profit of Rs 118.57 crore for the year-ago period.

Total income rose to Rs 600.12 crore from Rs 555.64 crore in the same period a year ago, according to a regulatory filing by the bank.

The asset quality of the bank improved substantially as gross non-performing assets (NPAs) fell to 1.65 per cent of gross advances by the end of September 2022 from 4.11 per cent a year ago.

Net NPAs too declined to 0.57 per cent from 2.63 per cent.

In absolute value, gross NPAs were at Rs 291 crore, down from Rs 587 crore. Net NPAs were Rs 99 crore as against Rs 370 crore.

Pralay Mondal, Managing Director & CEO of the bank said the current macro-economic scenario is quite volatile and challenging.

"In the midst of all the prevalent adversities, we kept our focus firm and could do well in the second quarter of FY23. This quarter witnessed a repo hike of 100 basis points from 4.90 per cent to 5.90 per cent.

"The prudent treasury strategies helped us with minimal shocks. While our deposit growth was in line with the industry trend, we could outgrow in the advance portfolio," he said.

In terms of profitability, the bank could cross the Rs 200 crore mark in second half of the fiscal year while keeping the provision buffers intact, Mondal said further.

CSB Bank stock settled at Rs 233, down 6.89 per cent on BSE.