Federal Bank delivers highest ever quarterly net profit at Rs 704 crore, rises by 53 per cent
The net worth of the Bank increased from Rs. 17551.94 crore to Rs. 19617.82 crore, as of September 30, 2022. The capital Adequacy Ratio (CRAR) of the Bank, computed as per Basel III guidelines stood at 13.84 per cent at the end of the quarter.
Federal Bank announced Financial Results for the quarter and half year ended September 30, 2022. Highlights of the results on a Y-o-Y basis are as follows:
Highlights
- Net Profit highest ever at Rs 704 crore, increases by 53 per cent YoY
- Operating Profit highest ever at Rs 212 crore.
- ROA for Q2 at 1.21 per cent and ROE at 14.36 per cent
- Highest ever Net Interest income at Rs 1762 crore, increases by 19.09 per cent on a YoY basis.
- NIM increased to 3.30 per cent, higher by 10 bps YoY
- GNPA and NNPA brought down to 2.46 per cent and 0.78 per cent, respectively
- Total Advances increased by 19.40 per cent.
WORKING RESULTS AT A GLANCE (Rs. in crore)
| Particulars |
Year on Year |
| 30-09-22 |
30-09-21 |
Growth % |
| Net Profit |
703.71 |
460.26 |
0.53 |
| Operating Profit |
1212.24 |
912.08 |
0.33 |
| Net Interest Income |
1,761.83 |
1,479.42 |
0.19 |
| Other Income |
609.52 |
491.65 |
0.24 |
| Total Advances |
163,957.84 |
137,313.37 |
0.19 |
Balance Sheet
Total Business of the Bank reached Rs. 350386.03 crore registering a growth of 14.36 per cent as on September 30, 2022. Total Deposits increased from Rs. 171994.74 crore as on September 30, 2021 to Rs. 189145.71 crore as on September 30, 2022. CASA Deposits grew by 10.74 per cent to reach Rs. 68873.27 crore.
On the Asset side, Total Advances increased from Rs 137313.37 crore as on 30th September 2021 to Rs. 163957.84 crore as on September 30, 2022. Retail Advances grew by 18.38 per cent to reach Rs. 52438.89 crore. Agri advances reached Rs.21090.70 crore registering a growth of 17.96 per cent. Business Banking advances grew by 17.20 per cent to reach Rs 13617.35 crore. Commercial Banking grew by 18.61 per cent to Rs. 16240 crore. Corporate Advances registered a growth of 20.70 per cent to reach Rs. 58928.90 crore from Rs. 48822.63 crore.
Operating Profit & Net Profit
The operating Profit of the Bank grew by 32.91 per cent to Rs. 1212.24 crore for the quarter that ended 30th September 2022 from Rs. 912.08 crore as on September 30, 2021. Net Profit for the quarter that ended September 30, 2022, was Rs. 703.71 crore, an increase of 52.89 per cent over Rs. 460.26 crore during the corresponding quarter of the previous year.
Income & Margins
Net Interest Income for the quarter that ended September 30, 2022, grew by 19.09 per cent to Rs. 1761.83 crore from 1479.42 crore for the quarter that ended September 30, 2021. Other Income of the Bank grew by 23.97 per cent to Rs. 609.52 crore from Rs. 491.65 crore for the quarter that ended September 30, 2021. Net Interest Margin increased by 10 bps to reach 3.30 per cent.
Asset Quality
Gross NPA of the Bank at the end of Q2 FY23 stood at Rs. 4031.06 crore, which as a percentage of Gross Advances stood at 2.46 per cent. The Net NPA and Net NPA as a percentage to Net Advances as on September 30, 2022, stood at Rs. 1262.35 crore and 0.78 per cent respectively. The Provision Coverage Ratio (including technical write-offs) was 82.76 per cent. Credit Cost for the Quarter stood at 0.53 per cent.
NET WORTH & CAPITAL ADEQUACY
The net worth of the Bank increased from Rs. 17551.94 crore to Rs. 19617.82 crore, as of September 30, 2022. The capital Adequacy Ratio (CRAR) of the Bank, computed as per Basel III guidelines stood at 13.84 per cent at the end of the quarter.
Footprint
The Bank has 1305 branches and 1876 ATMs/Recyclers as of 30th September 2022.
Q2FY22 Vs Q2FY23
- Retail advances grew by 18.38 per cent to reach Rs. 52438.89 crore.
- Agri advances reached Rs. 21090.70 crore registering a growth of 17.96 per cent.
- Business Banking Advances grew by 17.20 per cent from Rs. 11618.98 crore to Rs 13617.35 crore.
- Commercial Banking Advances grew by 18.61 per cent to reach 16240 crore.
- Corporate Advances reached Rs. 58928.90 crore registering a growth of 20.70 per cent.
- Total Deposits increased by 9.97 per cent from Rs 171994.74 crore to Rs 189145.71 crore.
- CASA Deposits grew by 10.74 per cent to reach Rs. 68873.27 crore.
- CASA as a percentage of total deposits stood at 36.41 per cent.