Federal Bank Reports Highest Ever Interest Income Backed by Strong Credit Growth

2024-04-21 09:01:32 Business

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15th January 2018: Federal Bank announced the Unaudited Financial Results for the quarter ended 31st December 2017. The major highlights of the results on a Y-o-Y basis are as follows:

? Total deposits crosses the landmark figure of Rs.100000 Cr
? Net Profit increases by 26%
? Operating Profit up by 18%
? Net Advances records a growth of 22%
? Housing Loan grows by 26%
? Net Interest Income increases by 20%

Q3FY17 Vs Q3FY18

? Wholesale Advances registered a growth of 29.62% to reach Rs. 34364.26 Cr.
? Agri Advances grew by 29.64% to reach Rs.8771.37 Cr.
? NRE deposits grew by 14.14% to reach Rs. 39430.97 Cr
? Net advances increased by 22.01% from Rs. 69629.22 Cr to Rs.84953.08 Cr.
? The Net worth increased by 38.99% to reach Rs.11955.18 Cr
? Investments increased from Rs. 28519.93 Cr to Rs. 29774.52 Cr.
? Book Value per share increased to Rs. 60.80 from Rs. 49.94.

Balance Sheet

The Total Business of the Bank grew 14.60% Y-o-Y from Rs.161864.87 Cr to Rs.185490.17 Cr as on 31st December 2017. While Total Deposits reached Rs.100537.10 Cr from Rs.92235.65 Cr, Net Advances grew 22.01% to reach Rs. 84953.08 Cr.

NRE Deposits of the Bank grew by 14.14% to reach Rs. 39430.97 Cr as on 31st Dec 2017. CASA increased to Rs.33141.43 Cr from Rs.31972.97 Cr.

On the Asset side, Wholesale Advances registered a growth of 29.62% to reach Rs.34364.26 Cr. Agri Advances registered a growth of 29.64% to reach Rs.8771.37Cr. Retail Advances registered a Y-o-Y growth of 14.00% to reach Rs. 24293.12 Cr as on 31st Dec 2017. SME Advances grew by 20.47% to reach Rs.18493.38 Cr as compared to Rs.15351.34 Cr last year.

Operating Profit & Net Profit
The Operating Profit of the Bank increased by 18.21% to reach Rs.561.40 Cr as on 31st Dec 2017. Net Profit increased by 26.43% to reach Rs. 260.01 Cr. for the quarter ended 31st December 2017.

Margins

The Bank earned a Net Interest Income of Rs.950.00 Cr for the quarter. The Net Interest Margin of the Bank as on 31st December 2017 stood at 3.33%.

Asset Quality
The Gross NPA and Net NPA of the Bank as at the end of the Quarter stood at Rs. 2161.19 Cr and Rs. 1156.68 Cr respectively. Gross NPA as a percentage reduced to 2.52% and Net NPA as a percentage to Net Advances stood at 1.36%. The Provision Coverage Ratio (including technical write-offs) is 70%.

NET WORTH & CAPITAL ADEQUACY

The Net worth of the bank increased from Rs.8601.24 Cr as on 31st December 2016 to Rs.11955.18 Cr as on 31st December 2017. The Capital Adequacy Ratio (CRAR) of the Bank, computed as per Basel III guidelines stood at 14.41% as at the end of the quarter.

Footprint

The Bank has 1252 branches and 1679 ATMs as on 31st December 2017.

Awards

?SKOCH Smart Technologies for Growth Award for 2017? for Instant Account Opening

About Federal Bank:

Federal Bank is a leading Private Sector Bank with a branch network of 1,252 branches and 1,680 ATMs spread across the country. The Bank?s total business mix (deposits + advances) stands at Rs 1.72 Lakh Crore as at June 30, 2017 and it has earned a net profit of Rs 210.15 Crore for Q1 FY18. Bank?s Capital to Risk weighted Ratio (CRAR) stood at 15.28% at the end of June 30, 2017. Federal Bank has its Representative Office at Dubai and Abu Dhabi that serves as a nerve centre for NRI customers in the UAE. The Bank also has an IFSC Banking Unit (IBU) in Gujarat International Finance Tec-City (GIFT City).Federal Bank is transforming itself, keeping its principles intact, into an organization that offers services beyond par. It has a well-defined vision for the future as a guidepost to its progress. During FY 17 the bank handled around 15 % of the total personal inward remittance to India.