MUMBAI: LIC-controlled IDBI Bank has reported a muted set of numbers for the December quarter with standalone net profit inching up just about 1.4% to Rs 1,935.45 crore from Rs 1,908.27 crore a year ago.
The bottom line growth was impacted by a steep 24% plunge in the core net interest income to Rs 3,209.5 crore from Rs 4,228.2 crore in the same quarter of the previous year. The bank did not offer any reason for the massive drop in the core net interest income despite better asset quality and higher loan sales.
The city-based bank, which has missed many a deadline to get fully privatised, reported a drop in net non-performing assets from Rs 474.2 crore in the previous quarter to Rs 425.3 crore in the reporting quarter.
The bank's net NPAs contracted to 0.18% from 0.21% in the previous quarter, while its gross NPA increased from Rs 6,242 crore in the previous quarter to Rs 6,281 crore in the third quarter or in percentage terms declined by a full 100 bps to 2.57% and provision coverage ratio stood at 99.33.
Cost of deposit stood flat at 4.62% while the cost of funds improved to 4.74% from 4.82%, the bank said in a statement Saturday, adding the net interest margin stood flat at 3.52%.
Total business stood at Rs 5.46 trillion, a growth of 12%, of which deposits stood at Rs 3.07 trillion, a growth of 9%, and net advances grew 15% to Rs 2.39 trillion. The low-cost Casa stood at Rs 1,35,632 crore, a growth of 4% taking the Casa ratio to 44.06.