AU Small Finance Bank profit flat at Rs 203 cr; net interest income up 40%

Jaipur-based AU Small Finance Bank’s net profit in April-June quarter remained flat year-on-year at Rs 203 crore.
 
Net interest income, however, was up 40 per cent YoY to Rs 724 crore, aided by a reduction in the cost of funds. Its operation cost increased by almost 50 per cent YoY to Rs 174 crore due to an increase in employee base, as well as investments in several digital initiatives. 
 
While provisions remained flat YoY at Rs 451 crore, sequentially, it went up by 21 per cent. The lender made contingency provisions of Rs 120 crore during the quarter