LVB net rises to Rs 31.5 cr

Written by fe Bureau | Chennai | Updated: Oct 18 2014, 07:21am hrs
Lakshmi Vilas Bank (LVB) has reported a net profit of Rs 31.50 crore in the second quarter against Rs 5.85 crore in the same quarter last year on account of decline in bad assets and lower provisionings.

The total earnings of the bank in Q2 rose to Rs 617.84 crore, up from Rs 536.76 crore in the year-ago period. Provisions and contingencies were trimmed to Rs 50.89 crore in the second quarter over Rs 74.63 crore in the previous fiscal. The net non-performing assets (NPAs) came down to 2.78% from 3.77% a year ago. Gross NPAs reduced to 3.72% from 5.22%.

Banks MD & CEO Rakesh Sharma said the asset quality has improved by reducing the gross NPA by 150 bps. The net NPA too had come down by 99 bps on year-on-year basis.

The Casa portfolio of the bank has grown 27.75% to Rs 3,027.97 crore from Rs 2,373.64 crore. Total deposits rose to Rs 19,314.88 crore from Rs 16,455.45 crore, registering a growth of 17.38%. Credit portfolio expanded to Rs 13,724.32 crore from Rs 12,332.77 crore, logging a 11.28% growth. Total business mix improved to Rs 33,039.20 crore from Rs 28,788.22 crore, registering a growth of 14.77%. Net interest income of the bank recorded a growth of 12.67% as it improved to Rs 134.08 crore from Rs 119 crore.