Indian Bank's profit rises 12% to Rs 469 cr

Indian Bank has reported a net profit of Rs 469 crore for the July-September quarter of the current year, compared with Rs 416 crore in the corresponding quarter of last year – a growth of 12.7 per cent.

Growth has come from all areas – interest earned on advances (Rs 630 crore higher), income from investments (Rs 136 crore) and other income (Rs 60 crore).

At a press conference here, Indian Bank's Chairman and Managing Director, Mr T.M. Bhasin, said that the bank's gross non-performing assets as a percentage of gross advances declined to 1.21 per cent from 1.29 per cent in the quarter ended September 2010. However, in value terms, NPAs rose from Rs 904 crore to Rs 1,047 crore.

While the bank recovered Rs 245 crore from delinquent accounts, there was a fresh build up of NPAs of Rs 370 crore.

Earnings per share for the quarter work out to Rs 10.64, against Rs 9.40 previously.

For the first six months of the current year, Indian Bank's net profit was Rs 875.62 crore, compared with Rs 783.92 crore.

On the NSE today, the Indian Bank share closed at Rs 217.30, which was Rs 12.45, or 6.08 per cent higher, than the previous close.