DCB Bank share zooms 10% after Q2FY25 profit climbs over 22% YoY

DCB Bank share price: Shares of private bank DCB Bank surged up to 9.75 per cent to hit an intraday high of Rs 121 per share on Friday, October 25, 2024.

 

The surge in DCB Bank share price came after the lender reported a strong set of quarterly results (Q2FY25) on Thursday, October 24, 2024. 

 

The bank’s net profit rose 22.6 per cent annually to Rs 155.5 crore in the September quarter of financial year 2025 (Q2FY25), from Rs 126.8 cror ein the September quarter of FY24 (Q2FY24).

 

The Net Interest Income (NII), which is the difference between interest earned and interest expended, soared 7 per cent annually to Rs 509.2 crore in Q2FY25, from Rs 475.7 crore in Q2FY24. 

 

On the asset quality front, net non performing assets (NNPA) improved to 1.17 per cent in the September quarter of FY25, from 1.18 per cent in the June quarter of FY25 (Q1FY25).

 

The bank’s gross non performing asset (GNPA) improved to 3.29 per cent in Q2FY25, from 3.33 per cent in Q1FY25. 

 

In absolute terms, NNPA deteriorated to Rs 521.28 crore in Q2FY25, from Rs 499.22  in Q1FY25. Its GNPA also deteriorated to Rs 1,496.64 crore in Q2FY25, from Rs 1,434.55 crore in Q1FY25. 

 

The Provision Coverage Ratio (PCR) stood at 75.62 per cent and PCR without considering Gold Loans NPAs was at 76.41 per cent.

 

“Our growth trajectory continues to be robust both in deposits and advances. Greater focus on analytics and engagement to give us benefits on the fee line. Recoveries and upgrades continue to be encouraging. We are working on improving productivity and looking ahead we expect steady improvement in profitability,” said Praveen Kutty, managing director & CEO.

 

DCB Bank Limited is a private sector bank. It has 451 branches across 20 states and 2 union territories. It is a scheduled commercial bank regulated by the Reserve Bank of India. 

 

DCB Bank has contemporary technology and infrastructure, including state-of-the-art India’s first Aadhaar number & fingerprint based biometric ATMs, and internet banking for personal as well as business banking customers. 

 

The Bank’s business segments are Retail, micro-SMEs, SMEs, mid-Corporate, Microfinance Institutions (MFI), Agriculture, Commodities, Government, Public Sector, Indian Banks, Cooperative Banks and Non Banking Finance Companies (NBFC). 

 

At 11:34 AM, DCB Bank shares were trading 3.76 per cent higher at Rs 114.40 per share. In comparison, BSE Sensex was trading 0.84 per cent lower at 79,396.39 levels.