The Punjab National Bank, country’s second largest public sector bank, posted a 86 per cent increase in net profit at Rs 1,006 crore for the quarter ended December 31, 2008 as compared to Rs 541 crore for the same quarter a year ago.
Aided by higher interest income, the bank registered a 51 per cent increase in total income at Rs 6,240 crore for the quarter as compared to Rs 4,119 crore in the corresponding quarter a year ago.
The share price of PNB today rose 1.84 per cent at Rs 397.45, from the previous closing of Rs 390.25 on the Bombay Stock Exchange.
In another development, Punjab National Bank, today said it will cut benchmark lending rate by 50 basis points (bps) to 11.50 per cent. Accordingly, the bank will reduce housing, car, education loan and personal loan rates by 50 bps with effect from February 1. One bps is one-hundredth of 1 percentage point.
"We have decided to cut prime lending rate (PLR) by 50 basis points (bps) beginning next month," PNB Chairman and Managing Director K C Chakrabarty told reporters here.