Karur Vysya Bank (KVB) on Wednesday registered marginal development in net profit at Rs 109 crore for the initially quarter of FY22 as against Rs 106 crore in the corresponding quarter of the prior monetary year.
The bank’s total earnings was slightly reduce at Rs 1,596 crore in the quarter beneath critique as compared to Rs 1,693 crore in the identical period last year.Its net interest earnings enhanced 14% to Rs 638 crore as against Rs 562 crore even though net interest margin (NIM) stood at 3.55%.
The price of deposits has enhanced by 84 basis points (bps) to 4.53% in the quarter as compared to 5.37% in the identical period prior year, KVB stated in a release. The non-interest earnings (like treasury profit) dropped to Rs 220 crore in Q1FY22 as compared to Rs 317 crore in Q1FY21, when there was a greater treasury profit of Rs 178 crore earned, as compared to Rs 35 crore for the duration of the present period.
Commission- and charge-based earnings have enhanced by Rs 26 crore to Rs 147 crore from Rs 121 crore even though operating expenditures stood at Rs 429 crore as compared to Rs 405 crore. KVB stated its total small business was at Rs 1,16,713 crore, registering 7.4% development. Credit portfolio grew 8% and gross advances stood at Rs 52,315 crore, up from Rs 48,617 crore. Improved credit off-take in retail and small business segment as properly as jewel loan portfolio, backed by digital processing and enhanced sourcing of loans via numerous channels aided credit development.
Jewel loan portfolio registered development of Rs 3,258 crore (32.8%) and was at Rs 13,206 crore. Total deposits grew Rs 4,333 crore (7%) to `64,398 crore, up from Rs 60,065 crore. Growth was routed via sustained improvement in CASA portfolio and retail-term deposits, it stated. Gross NPA has declined to 7.97% as compared to 8.34% even though net NPA inched up to 3.69% as against 3.44%. Provision coverage stood at 72.40%.
On the capital adequacy front, the bank stated the Basel III CRAR was at 19.06% (with CET1 ratio of 17.04%), up from 18.14%.