Central Bank of India (CBoI) reported a 84 per cent jump in their fourth quarter standalone net profit at ₹571 crore against ₹310 crore in the year ago quarter due to robust growth in net interest income and other income.
Net interest income (difference between interest earned and interest expended) increased by about 45 per cent year-on-year (yoy) to ₹3,513 crore (₹2,416 crore).
Non-interest income, comprising fee-based income, treasury income, recovery in written-off accounts, among others, soared 125 per cent y-o-y to ₹1,424 crore (₹632 crore).
Net interest margin (NIM) improved to 6.67 per cent in the reporting quarter against 6 per cent in the preceding quarter and 4.83 per cent in the year-ago quarter.
Provisions go up
Provisions, including towards non-performing assets (NPAs), standard assets and non-performing investments, increased by about 14 per cent y-o-y to ₹1,205 crore (₹1,061 crore).
Gross NPAs declined to 8.44 per cent of gross advances as of March-end 2023 against 8.85 per cent at December-end 2022.
Net NPAs declined to 1.77 per cent of net advances against 2.09 per cent.
The bank’s deposits increased 4.84 per cent y-o-y to stand at ₹3,59,296 crore as at March-end 2023 (₹3,42,692 crore as at March-end 2022).
Gross advances rose by 20.70 per cent y-o-y at ₹2,02,984 crore (₹1,68,174 crore).
The public sector bank said its board approved raising of capital aggregating up to ₹2,500 crore during financial year 2023-24.
The capital raise will be through follow-on public offer/rights issue/qualified institutional placement/ preferential issue or any other mode or combination thereof and/or through issue of BASEL Ill compliant AT1/Tier II Bonds.