Q4 Results update: Canara Bank profit surges 18% to Rs 3,757 crore

State-owned Canara Bank on Wednesday reported an 18 per cent rise in its net profit to Rs 3,757 crore during the fourth quarter ended March 2024.

The Bengaluru-based lender had earned a net profit of Rs 3,175 crore in the year-ago period.

During the quarter, the bank's total income increased to Rs 34,025 crore as against Rs 28,685 crore a year ago, Canara Bank said in a regulatory filing.

Interest income grew to Rs 28,807 crore during the period under review from Rs 23,910 crore in the corresponding quarter a year ago.

The bank's board recommended a dividend of Rs 16.10 per equity share (i.e., 161 per cent) of face value of Rs 10 each to the shareholders for 2023-24, subject to approval at the ensuing Annual General Meeting.

On the asset quality side, the bank's Gross Non-Performing Assets (NPAs) moderated to 4.23 per cent of gross advances as of March 31, 2024, from 5.35 per cent by the end of March 2023.

Net NPAs also came down to 1.27 per cent of the advances from 1.73 per cent at the end of 2024.

As a result, provision for bad loans declined to Rs 2,280 crore as against Rs 2,399 crore earmarked during the same quarter a year ago.

Capital Adequacy Ratio (CRAR) marginally declined to 16.28 per cent over 16.68 per cent on March 31, 2023, with a Tier 1 ratio of 11.58 per cent as on March 31, 2024.