Net interest income stood at R1,039 crore, up 12% y-o-y due to net interest margins (NIM) remaining stable at 5%. Other income increased 57% y-o-y to R466.5 crore.
Asset quality deteriorated during the quarter marginally and the gross non-performing asset (NPA) ratio stood at 1.89% of gross advances, down 1 basis point from the preceding quarter. The net NPA ratio stood at 1% of net advances. In absolute terms, gross NPAs stood at R1,165.40 crore, up 15.85% y-o-y.
The bank also made provisions worth R53.65 crore towards advances and had a write-back towards investments worth R10.21 crore. Provisions on unhedged foreign currency exposures during the quarter were around R4 crore, said Jaimin Bhatt, chief financial officer. Standard restructured loans at the end of the quarter stood at R161.5 crore, or 0.26% of net advances.
Advances grew 20% y-o-y to R60,948 crore and the bank continued to degrow its commercial vehicle (CV) and construction equipment (CE) portfolio. The CV/CE portfolio degrew 25% from the corresponding period last year to R5,062 crore.
The big growth this quarter came in from the corporate banking segment, the agriculture business and we also saw good growth coming in from the small business and personal loans segment, said Bhatt.
The corporate banking segment grew 44% y-o-y to R24,845 crore, the agriculture lending division 28% y-o-y to R10,137 crore, and the small businesses and personal loans division 29% y-o-y to R5,344 crore.
Deposits were up 29% y-o-y to R68,103 crore and the current and savings account (Casa) ratio stood at 31%.