RBL Bank Q4 profit rises 37% to Rs 1.7 bn

Private sector lender RBL Bank on Thursday reported a rise of 37 per cent in its net profit at Rs 1.78 bn for the quarter ended March 2018.

Its net profit in the corresponding January-March quarter of 2016-17 stood at Rs 1.3 bn Net interest income (NII) in the March quarter increased by 42 per cent to Rs 5 bn from a year ago, while income from other sources moved up by 32 per cent to Rs 3.1 bn the bank said in a regulatory filing.

Total income increased to Rs 15.34 bn during the March quarter of 2017-18 from Rs 12.22 bn in the same period of the previous fiscal.

For the entire 2017-18 fiscal, bank's net profit rose to Rs 6.35 bn as against Rs 4.46 bn in the preceding year, an increase of 42 per cent. Its full-year income rose to Rs 55.75 bn in 2017-18 from Rs 44.68 bn in preceding year.

NII rose by 45 per cent to Rs 17.66 bn and income from other sources were up 41 per cent to Rs 10.68 bn during the year.

The net interest margin -- a key gauge of profitability --for the year improved to 3.80 per cent from 3.29 per cent in 2016-17.

"Bank's growth in advances portfolio continued to be robust at 37 per cent on year-on-year basis," said the lender in the filing.

Gross NPA increased to 1.40 per cent of the gross advances as on March 31, 2018, against 1.20 per cent as on March 31, 2017. Net NPA increased to 0.78 per cent from 0.64 per cent.

In value terms, gross NPAs were Rs 5.6 bn by the end of March 2018 as against Rs 3.56 bn a year ago.

Net NPAs stood at Rs 3.12 bn, compared to Rs 1.89 bn.

Net advances as on March 31, 2018 stood at Rs 402.67 bn as compared to Rs 294.49 bn in the previous year, a growth of 37 per cent, the bank said.

The consolidated net profit for the year ended March 31, 2018 was Rs 6.31 bn up 41 per cent, over the previous year.

"In the year gone by...We have been able to maintain our strong growth momentum across all our various business segments with good asset quality and are tracking well to our Vision 2020 goals. At the same time, we continue to invest in the franchise to enhance our technology and other capabilities, distribution footprint, deepening customer relationships and offering quality products and services," said Vishwavir Ahuja, MD & CEO, RBL Bank.

The board of directors of the bank at its meeting today recommended a dividend of Rs 2.10 per equity share payable subject to shareholders approval, the RBL Bank said.

Stock of the bank closed 3.16 per cent up at Rs 536.20 on BSE.

The provisions for bad loans and contingencies for the quarter ended March 2018 were raised to Rs 1.12 bn as against Rs 821 mn parked aside for the same quarter of 2017.

For the full year, the NPAs provisions and contingencies too increased to Rs 3.64 bn from Rs 2.38 bn for year ended March 2017.