PNB profit rises 21%

CORPORATE SCORECARD

Riding on higher interest income, Punjab National Bank (PNB) on Wedesday reported a 20.6 per cent increase in net profit to Rs 512 crore during the first quarter of 2008-’09 compared with Rs 425 crore during the same quarter last year. The rise in profit was despite the bank taking a Rs 150-crore hit due to depreciation in the value of government securities.

“Improved asset quality and steps taken earlier for de-risking the investment portfolio helped us in this quarter,” PNB Chairman and Managing Director K C Chakrabarty said.

The public sector bank’s total income rose by 21 per cent to Rs 4,595 crore, while interest income was nearly 26 per cent higher at Rs 4,138 crore at the end of June this year.
  

Performance in Q1 ended June
Rs crore	2007	2008	% chg
Total income	3,795	4,595	21.10
Net interest income	1,301	1,445	11.10
Operating profit	933.12	982.43	5.30
Net profit	425.06	512.4	20.60
Total business	2,38,249	2,87,504	20.70
Deposits	1,42,609	1,73,074	21.40
Advances	95,640	1,14,430	19.60

PNB’s profit from trading in bonds dropped 91 per cent to Rs 12 crore in the first quarter.