Private sector lender Bandhan Bank, which commenced operations as a universal bank in August last year, on Monday reported a net profit of over Rs 275 crore for a seven-month period ending March 31, 2016.
The Kolkata-based lender posted a total income of Rs 1,082.71 crore in these seven months. Its net interest income (NII), the difference between interest earned and interest expended, stood at R932.72 crore.
“Despite spending on technology, infrastructure and new employees, the bank has posted a decent profit, which is satisfactory and encouraging,” Bandhan Bank managing director and chief executive Chandra Shekhar Ghosh told a media conference.
The bank’s gross advances were at Rs 15,493.97 crore, of which only Rs 156 crore was advances to non-micro credit sectors. It was able to collect deposits of over Rs 12,000 crore during the period under review.
Having started banking operation in August 23, 2015 with 501 branches in 24 states, Bandhan has expanded its operation across 29 states through a network 670 branches and 234 ATMs. It has also opened 21 small format branches.
At present, Bandhan caters to about 85 lakh customers. It has roped in seven lakh new customers after its transformation from a microfinance entity to a universal bank. It has opened 15.32 million accounts including deposits and advances.
“We expect to clock 30% credit and deposit growth by the end of March 2017,” Ghosh said.
Will be ‘choosy’ in providing big-ticket loans Bandhan Bank will be choosy in providing big-ticket loans to sectors other than microfinance to keep its non-performing assets (NPAs) at the minimum, MD and CEO Chandra Shekhar Ghosh said.