Federal Bank Q3 profit up over 9% at Rs 230 cr

The bank sees a drop in gross NPAs from Rs 1,466 crore to Rs 1,201 crore

Federal Bank today reported a jump of 9.1 per cent in net profit of Rs 230 crore in the third quarter ended December 31.

The private sector bank's net profit during the same period in the previous fiscal was Rs 210.78 crore, a bank release said.

The gross NPA came down from Rs 1,466 crore to Rs 1,201 crore and gross NPA as a percentage to gross Advances came down to 56 bps from 3.39 per cent to 2.83 per cent.

SME Advances of the bank grew by Rs 798 crore (8.50 per cent), from Rs 9,386 crore to Rs 10,184 crore on a sequential basis.

Retail Advances ex-gold loans grew by Rs 475 crore (5 per cent) from Rs 9,491 crore to Rs 9,966 crore sequentially. The Bank reduced its dependence on Large Corporate Advances as the portfolio recorded degrowth of Rs 1,805.75 Crore.

The bank continued to build on its strong Retail/ NRI franchise that helped it improve its low cost deposit share in total deposits (CASA + FCNR) from 32.85 per cent to 33.47 per cent on a sequential basis.

It added Rs 670.89 crore of low cost deposits during the quarter, which was led by growth in FCNR deposits to the tune of rs 351.63 Crore. Retail Deposits Ratio improved to 93.03 per cent from 92.31 per cent sequentially.

The bank continued to expand its footprint and added 18 branches and 47 ATMs during the quarter to take the tally to 1,142 branches and 1,312 ATMs as at December 31, last year, the release said.