Profit of PSU banks more than doubles to Rs 34,774 cr in Q1

economictimes.indiatimes.com:

Public sector banks (PSBs) have once again posted stellar performance by registering more than double profit of Rs 34,774 crore for the first quarter ended June 2023. During the April-June period of the previous fiscal, all 12 state-owned banks had recorded a total profit of Rs 15,306 crore, according to quarterly numbers published by public sector lenders. The high-interest regime helped banks to earn a good net interest margin (NIM) during the quarter.

Most banks had recorded NIM of over 3 per cent. Pune-based Bank of Maharashtra posted the highest NIM of 3.86 per cent, followed by Central Bank at 3.62 per cent and Indian Bank at 3.61 per cent during the quarter. During the first quarter, four lenders logged a profit of over 100 per cent.

The highest percentage growth was recorded by Punjab National Bank, which earned a profit of Rs 1,255 crore against Rs 308 crore in the same quarter of the previous year, a growth of 307 per cent. It was followed by the State Bank of India (SBI), which recorded a 178 per cent bottom line growth at Rs 16,884 crore and the Bank of India with a 176 per cent surge, earned Rs 1,551 crore profit. SBI's highest-ever quarterly profit of Rs 16,884 crore is about 50 per cent of the total profit earned by PSBs.

During FY23 too, SBI's contribution was about 50 per cent, when the cumulative profit of these banks was Rs 1.05 lakh crore. Another five PSBs posted growth between 50 and 100 per cent. This pack was led by Bank of Maharashtra, which clocked a 95 per cent rise in net profit at Rs 882 crore.