Dip in provisions helps PSB profits jump 94% to Rs 17,312 crore in Q2

The second quarter marked a gradual improvement after experiencing a setback from the pandemic in the April-June period.

Public sector banks posted a robust 94 per cent growth rate in net profit on a year-on-year (YoY) basis in the second quarter (Q2FY22) to Rs 17,312 crore on the back of other income and a sharp fall in provisions and contingencies.

Sequentially too, profit after tax (PAT) rose 22.3 per cent from Rs 14,012 crore in the June quarter. Net interest income (NII), the key source of earnings, showed growth rate of 2.3 per cent YoY to Rs 73,655 crore in Q2. Sequentially it was up 5 per cent from Rs 70,152 crore in the previous quarter.

The second quarter marked