Federal Bank's Q1 net profit drops 8.35% due to higher provisions

The lender's net interest income grew by 9.4% YoY to Rs 1,418 cr in Q1FY22 compared to Rs 1,296 cr in the year-ago period

Kochi-based private sector lender Federal Bank has reported an 8.35 per cent decline in net profit in April-June quarter of FY22 due to higher provisions. Net profit for the quarter stood at Rs 367 crore as against Rs 401 crore in the same period last year. In Q4FY21, the lender had earned a net profit of Rs 478 crore.

The lender’s net interest income (NII) grew by 9.4 per cent year-on-year (YoY) to Rs 1,418 crore in Q1FY22 compared to Rs 1,296 crore in the year-ago period. And, net interest margin (NIM) stood at 3.15 per cent, a three-quarter low