 "South Indian Bank")
Thrissur-based South Indian Bank (SIB) posted a 75 per cent rise in net profit during the first quarter of the financial year ended on June 30 this year to Rs 202.35 crore, as compared to Rs 115.35 crore during the same period in 2021-22.
During the period under review, the bank’s operating profit was seen up by 55 per cent from Rs 316.82 crore in April to June quarter of FY22 to Rs 490.24 crore during the same period in FY23. The April to June quarter saw its net interest income also going up by 34 per cent from Rs 603 crore last year to Rs 808 crore this year.
During the period, the bank’s gross non performing asset came down from 5.87 per cent to 5.13 per cent on a year-on-year basis. On the other hand, NNPA dropped from 2.87 per cent to 1.85 per cent on a Y-o-Y basis. Murali Ramakrishnan, managing director and chief executive officer of the Bank, while announcing the results, stated that the strategy adopted by the Bank continues to enable the business performance. During the period, the Bank could register growth in all the desired segments with focus on building quality assets across all verticals like corporate, SME, auto loan, credit card, personal loan and gold loan.
Net interest margin too improved by 60 basis points from 2.74 per cent to 3.34 per cent on Y-o-Y basis. Recovery and upgradation in NPA accounts increased from Rs 296.23 crore in Q1 FY23 to Rs 361.71 crore in Q1 FY24. During the quarter under review, the bank’s retail deposit grew by Rs 5,583 crore from Rs 86,460 crore to Rs 92,043 crore, showing an increase of 6 per cent on Y-o-Y basis. NRI Deposit grew by Rs 784 crore from Rs 27,598 crore to Rs 28,382 crore, showing an increase of 3 per cent on Y-o-Y basis. CASA grew by 3 per cent with growth in Savings Bank by 2 per cent and Current Account by 6 per cent respectively.
Its Gross advances grew by Rs 9,397 crore from Rs 64,705 crore to Rs. 74,102 crore, showing an increase of 15 per cent on Y-o-Y basis. Corporate Segment went up by Rs 8,919 crore from Rs 18,603 crore to Rs 27,522 crore, showing an increase of 48 per cent. Gold Loan portfolio went up by Rs 2,517 crore from Rs 11,961 crore to Rs 14,478 crore, posting an increase of 21 per cent. Capital adequacy of the Bank stood at 16.49 per cent in June 2023 compared to 16.25 per cent in June 2022.
