Karnataka Bank net up 87% in Q3

Karnataka Bank Ltd has recorded a growth of 86.71 per cent in net profit due to the increase in the spread and strong credit growth.

Net profit was at Rs 72.05 crore for the third quarter of 2011-12 against Rs 38.59 crore in the same period of the previous fiscal.

Speaking to Business Line after the board meeting here on Saturday, Mr P. Jayarama Bhat, Managing Director and Chief Executive Officer, said that the increase in the spread and the strong credit growth have contributed to the growth.

The spread increased to 4.53 per cent (3.87 per cent). There was an increase of 21 per cent in advances during the period, he said.

The net profit for first nine months of the fiscal stood at Rs 162.91crore (Rs 113.78 crore).

The deposits of the bank stood at Rs 29,785 crore (Rs 25,424 crore) and advances at Rs 19,689 crore (Rs 16,282 crore).

On Friday, the Karnataka Bank scrip closed at Rs 79.30 on the BSE against the previous close of Rs 76.70.

vinayakaj@thehindu.co.in