DCB Bank’s net profit rose 51% year-on-year in the December quarter due to strong growth in its loans and a write-back of provisions.
The bank’s bottomline came at Rs114 crore in October-December, up 2% on a sequential basis.
The bank’s advances rose 21% year-on-year to Rs 32,966 crore as on December 31.
Net interest income rose 29.3% year-on-year to Rs 446 crore in the quarter under review, led by the growth in advances. Deposits rose 23% year-on-year to Rs 39,056 crore as on December 31.
Current account savings account ratio (CASA) rose to 27.62% as on December 31 from 25.94% a year ago.
Credit deposit ratio fell to 83.44% as on December 31 from 84.84% a year ago.
The bank’s net interest margin rose to 4.02% in October-December from 3.61% a year ago. Cost of funds fell marginally to 6.05% in the December quarter from 6.07% a year ago. It was 5.97% in July—September.
Gross non-performing asset ratio fell to 3.62% as on December 31 from 4.78% a year ago. Net non-performing asset ratio fell to 1.37% as on December 31 from 2.55% a year ago.
The bank wrote-back provisions worth Rs 41 crore in the December quarter.
Non-interest income fell to `95 crore from `118 crore a year ago.
“Underlying performance in line with our plans and expectations. We intend to improve frontline cost productivity in the coming months. GNPA, NNPA, Credit Costs and Restructured portfolio- steadily improving,” said Murali M Natrajan, managing director and chief executive officer of the bank.