Relatively lower bad loan provisioning and operating expenses burden helped Canara Bank report a 17 per cent increase in first quarter standalone net profit at ₹ 329 crore against ₹281 crore in the year ago period.
The public sector bank's net interest income (interest earned less interest expended) was down 16.5 per cent at ₹ 3,241 crore (₹ 3,883 crore in the year ago period). Other income nudged up marginally to ₹ 1,862 crore (₹ 1,833 crore).
Loan loss provisions were down by 7 per cent year-on-year (yoy) at ₹ 2,283 crore. Operating expenses were lower 4 per cent yoy at ₹ 2,663 crore. Net interest margin was lower at 2.29 per cent against 2.52 per cent in the year ago period.
Global (domestic plus overseas) deposits were up 14.5 per cent yoy at ₹ 6,10,674 crore. Domestic CASA (current account, savings account) share declined to 29.46 per cent of domestic deposits against 32.43 per cent in the June 2018 quarter.
Global advances increased 11.12 per cent yoy at ₹ 4,49,290 crore. Domestic advances and overseas advances increased 11.44 per cent and 6.13 per cent yoy, respectively.
Gross non-performing assets nudged a shade lower to 8.77 per cent of gross advances from 8.83 per cent in the preceding quarter.
Provision Coverage Ratio improved to 68.62 per cent from 60.69 per cent.
The Bank reported a 12 per cent increase in consolidated net profit after minority interest at ₹ 383 crore (₹ 341 crore).
Shares of the Bank closed at ₹ 248.65 apiece, down 2.97 per cent over the previous close on BSE.