Karur Vysya Bank Q1 Results: Net profit jumps 28% YoY to Rs 459 crore

economictimes.indiatimes.com:

Karur Vysya Bank jumped 2.2% to Rs 206.45 after the bank reported a 28% jump in net profit at Rs 459 crore for the first quarter of the current fiscal against Rs 359 crore in the year-ago period.

Its net interest margin for the quarter stood at a healthy 4.13%, although down by 6 basis points year-on-year, as rise in cost of deposit outpaced yield on advances. The bank's net interest income rose 14.3% at Rs 1,025 crore.

Cost of deposits rose 52 bps in the past 12 months to 5.48% while yield on advances grew to 10.10%, up by 41 bps.

The operating profit rose 15% to Rs 746 crore, as compared with Rs 648 crore in the year-ago quarter.

«Bank’s performance indicators are in line with our guidance,» managing director Ramesh Babu was quoted as saying in a statement issued by the bank.

«I am confident that the same will continue, rather we will aim for further improvement of the performance in the ensuing quarters,» he said.
The bank's loan book grew 16% year-on-year to Rs 77,710 crore at the end of June while deposits expanded 14.4% to Rs 92,349 crore.

Its asset quality improved with gross non-performing assets ratio falling to 1.32% at the end of June from 1.99% a year prior to that. Provision coverage ratio stood at 94.91%.