Corporation Bank has posted a net profit of Rs 377.98 crore during Q1 of 2013-14 fiscal against Rs 370.26 crore in the corresponding period of the previous fiscal, recording a growth of 2.08 per cent.
Net interest income (NII) during the period stood at Rs 964.74 crore (Rs 808.43 crore), recording a growth of 19.34 per cent. NII is the difference between interest earned and interest expended.
The bank’s non-interest income during the first quarter of 2013-14 fiscal stood at Rs 581.20 crore (Rs 327.61 crore), registering a growth of 77.41 per cent.
Gross non-performing assets (NPAs) stood at 2.37 per cent and net NPAs at 1.65 per cent. In absolute terms, the gross NPAs stood at Rs 2,748.79 crore and net NPAs at Rs 1,900.31 crore.
The NPA provision coverage ratio stood at 56.79 per cent with reference to gross NPA.
Commenting on Corporation Bank’s result, Vaibhav Agrawal (VP-Research, Banking) Angel Broking, said that Corporation Bank reported healthy operating performance.
“While NII grew at a healthy pace of 19 per cent, non-interest income grew strongly by 77 per cent, probably boosted by treasury gains. Overall, pre-provisioning profit for the bank grew 49 per cent. On the asset quality front, the bank witnessed significant asset quality deterioration during the quarter,” he said.