Federal Bank reported its highest-ever quarterly net profit of Rs 804 crore during the third quarter that ended December 2022. It reported a 54 per cent jump from Rs 522 crore in the same quarter of the previous year.

Commenting on the results, Mr. Shyam Srinivasan, Managing Director & CEO, said, “An all-round strong operating performance has helped us deliver the highest ever quarterly profit of 804 Cr. Credit Cost has improved on the back of continued strong asset quality, with GNPA and NNPA at 2.43 per cent and 0.73 per cent respectively. Broad based asset growth of 19%, coupled with core revenue profile has yielded in higher ROA, currently at 1.33 per cent.”

Total Business of the Bank reached Rs. 369581.25 Cr registering a growth of 16.89% as on 31st December 2022. Total Deposits increased from Rs.175431.70 Cr as on 31st December 2021 to Rs.201408.12 Cr as on 31st December 2022. CASA Deposits grew by 7.19% to reach Rs.68967.14 Cr. On the Asset side, Total Advances increased from Rs.143638.49 Cr as on 31st December 2021 to Rs.171043.02 Cr as on 31st December 2022. Retail Advances grew by 18.13% to reach Rs.53936.45 Cr. Agri advances reached Rs.22050.00 Cr registering a growth of 19.70%. Business Banking advances grew by 18.03% to reach Rs. 14238.36 Cr. Commercial Banking grew by 18.40% to Rs. 16794.70 Cr. Corporate Advances registered a growth of 19.13% to reach Rs.62182.66 Cr from Rs.52197.97 Cr.

Operating Profit of the Bank grew by 39.37% to Rs. 1274.21 Cr for the quarter ended 31st December 2022 from Rs. 914.29 Cr as on 31st December 2021. Net Profit for the quarter ended 31st December 2022 is Rs. 803.61 Cr, an increase of 54.03% over Rs. 521.73 Cr during the corresponding quarter of the previous year.

Net Interest Income for the quarter ended 31st December 2022 grew by 27.14% to Rs. 1956.53 Cr from 1538.90 Cr for the quarter ended 31st December 2021. Other Income of the Bank grew by 10.29% to Rs.534.00 Cr from Rs.484.19 Cr for the quarter ended 31st December 2021. Net Interest Margin increased by 22 bps to reach 3.49%.

Gross NPA of the Bank at the end of Q3 FY23 stood at Rs. 4147.85 Cr, which as a percentage to Gross Advances stood at 2.43%. The Net NPA and Net NPA as a percentage to Net Advances as on 31st December 2022 stood at Rs. 1228.59 Cr and 0.73% respectively. Provision Coverage Ratio (including technical write-offs) was 83.44%. Credit Cost for the Quarter stood at 0.38%. Net worth of the Bank increased from Rs. 18089.19 Cr to Rs.20456.75 Cr, as on 31st December 2022. Capital Adequacy Ratio (CRAR) of the Bank, computed as per Basel III guidelines stood at 13.35% as at the end of the quarter. The Bank has 1333 branches and 1894 ATMs/Recyclers as on 31st December 2022.