Q1 results: State-owned lenders' net profit jumps 140% as provisions dip

The asset quality of state-owned banks remained stable with a fall in gross non-performing assets on y-o-y basis and sequentially

Thanks to a robust rise in other income and dip in provisions, public sector banks saw their net profit grow 139.6 per cent year-on-year (YoY) in the first quarter of financial year 2021-22 (Q1FY22).
 
Other income rose 34.8 per cent YoY, and provisions declined 10.7 per cent. How­ever, growth in net interest inc­ome (NII) was subdued at 5.4 per cent, in a quarter mar­ked by low credit offtake bec­ause of the second wave of Covid-19. The asset quality of state-ow­ned banks remained stable with a fall in gross non-perfor­ming assets (NPAs) on YoY and sequential basis. Net NPAs, bad