The public sector bank posted a net profit of Rs 506.03 crore in Q3 FY21 compared with net loss of Rs 492.28 crore in Q3 FY20.
The bank's total income grew by 45.9% to Rs 23,298.53 crore in Q3 FY21 as against Rs 15,967.49 crore in Q3 FY20. The result was announced after market hours on Friday, 5 February 2021.
Net Interest Income (NII) for Q3 FY21 grew by 28% to Rs 8,313 crore in Q3 FY21 over Q3 FY20. Global Net interest margin improved to 3.09% in Q3 FY21 from 2.49% in Q3 FY20.
The bank's operating profit jumped by 69.8% to Rs 6,390.81 crore in Q3FY21 from Rs 3,762.90 crore in Q3 FY20. Punjab National Bank posted a profit before tax of Rs 958.21 crore in Q3 FY21 as against a pre tax loss of Rs 383.14 crore in Q3 FY20. Provision for taxes were sharply higher at Rs 452.18 crore in Q3 FY21 compared with Rs 109.14 crore in Q3 FY20.
Gross non-performing assets (NPAs) stood at Rs 94479.33 crore as on 31 December 2020 as against Rs 96313.94 crore as on 30 September 2020 and Rs 76809.20 crore as on 31 December 2019.
The ratio of gross NPAs (GNPA) to gross advances stood at 12.99% as on 31 December 2020 as against 13.43% as on 30 September 2020 and 16.3% as on 31 December 2019. The ratio of net NPAs (NNPA) to net advances stood at 4.03% as on 31 December 2020 as against 4.75% as on 30 September 2020 and 7.18% as on 31 December 2019. On proforma basis, GNPA stood at 14.71% and NNPA stood at 5.65%.
The bank's provisions and contingencies soared 31% to Rs 5432.60 crore in Q3 FY21 from Rs 4164.04 crore in Q3 FY20. The bank said it is holding aggregate provision of Rs 3,041.16 crore as on 31 December 2020. This includes Rs 446.04 crore on account of COVID-19 Regulatory Package Provision, Rs 75.13 crore on account of OTR done under Resolution Framework for Covid-19 related stress and Rs 2,519.99 crore (including Rs 430.63 crore for derecognized interest) on account of stay on fresh NPA classification by order of Supreme Court. PNB reported a provision coverage ratio of 85.16% for the quarter ended December 2020.
Domestic advances rose by 0.69% to Rs 7,04,979 crore at the end of December 2020 from Rs 7,00,164 crore in December 2019. Housing loan grew by 6.5% on Y-o-Y basis to Rs 83071 crore in December 2020. Domestic Deposits fell by 0.23% and stood at Rs 10,52,844 crore as at the end of 31 December 2020 from Rs 10,55,306 crore on 31 December 2019. Domestic CASA share improved by 277 bps on Y-o-Y basis to 44.66% in December 2020. CASA deposits grew by 6.4% on Y-o-Y basis to Rs 4,70,282 crore in December 2020.
Shares of PNB were trading 4.36% lower at Rs 38.35 on the BSE.
PNB is a public sector bank. The Government of India held 76.87% stake in the bank as on 31 December 2020.
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