The bank’s net interest margin for the quarter improved by 49 bps to 3.03%. Net interest income rose 45% year-on-year to Rs 5,915 crore. Non-interest income was 27% higher at Rs 1,462 crore.
Provisions and contingencies for the bank decreased by 38% to Rs 824 crore, compared to Rs 1,322 crore in the same period last year. Of this amount, provisions for bad loans were Rs 777 crore, reflecting an improvement in asset quality.
Operating profit increased by 72% to Rs 3,752 crore, up from Rs 2,183 crore in the previous year’s quarter.
The bank’s gross advances grew by 8.48% year-on-year to Rs 5.18 lakh crore, with the yield on advances improving to 8.10% from 6.53% a year ago, in line with the higher interest rate environment.
The gross non-performing assets ratio of the bank decreased to 6.67% from 9.3% a year ago. The net NPA ratio was at 1.65% compared to 2.21%.
Deposits increased by 8.71% year-on-year to Rs 6.97 lakh crore at the end of June, with the current and savings account ratio at 44.52%. The average cost of deposits rose to 4.22% from 3.49% in the previous year.