Canara Bank’s Q4 profit rises 65% y-o-y on strong net interest income growth

Public-sector lender Canara Bank on Friday reported a 65% year-on-year (y-o-y) jump in net profit to Rs 1,666 crore in the fourth quarter of FY22 on the back of a 25% growth in net interest income (NII) to Rs 7,005 crore.

The bank reported total income of Rs 22,323 crore, up 6% y-o-y. Canara Bank’s operating profit rose 19% y-o-y to `6,202 crore. The net interest margin (NIM), a key measure of profitability, rose 10 basis points (bps) sequentially to 2.93%.

Gross advances of the bank grew 10% y-o-y to Rs 7.41 trillion as on March 31, 2022. Loans to the retail, agri and micro, small and medium enterprises (MSME) segments grew 11%, while corporate lending grew 8% y-o-y. Canara Bank has guided for a loan growth of 8% in FY23.

Total deposits of the bank stood at Rs 10.86 trillion as on March 31, 2022, up 7.5% y-o-y. The domestic current account savings account (CASA) share improved to 35.88% from 34.33% a year ago.

Provisions for the quarter stood at Rs 3,709 crore, up 1.5% y-o-y. Slippages rose to Rs 3,619 crore in Q4FY22 from Rs 2,699 crore in the previous quarter.

Gross non-performing assets (NPAs) as a percentage of total advances fell 29 bps on a sequential basis to 7.51% and the net NPA ratio declined 21 bps to 2.65%.

Canara Bank’s shares on the BSE closed at `219.20 on Friday, down 2.43% from their previous close.

from "Banking & Finance News: Banking & Finance News Today, Indian Banking & Finance News, World Banking & Finance News Today - The Financial Express " | The Financial Express https://ift.tt/mvdCUaH