Bandhan Bank profit up 35.8%

Net profit of Bandhan Bank increased 35.8 % at Rs 858.9 crore during the third quarter of current fiscal, registering a rise from Rs 632.6 crore in the similar previous period.

MD and CEO of Bandhan Bank, Chandra Sekhar Ghosh told that the quarter ending December has been a good one for the bank and growth has bounced back after the depressing first quarter of current fiscal.

In the second quarter of the current fiscal, the bank reported a loss of Rs 3009 crore due to higher provisioning.

Ghosh said that collection efficiency (CE) numbers have grown on the whole which stood at 93 % at during Q3.

While the CE in West Bengal is 97 %, it is 96 % in Assam, he said.

According to him, the net interest margin (NIM) of the bank stood at 7.8 %, while gross and net NPAs have both fallen.

The capital adequacy ratio at the end of December quarter stood at 20 %, while provisioning coverage ratio was at 74.4 %.

During the quarter, the bank had collected Rs 2500 crore from restructured loans.

“Stress in the system is going down which will lead to improved GNPA levels”, he said.

The share of microfinance loans to overall portfolio during the period stood at 52 %. Ghosh said that the bank is on track to reduce the share to 50 % by the end of the financial year.Total business of the bank at the end of the quarter stood at Rs 1,72,000 crore.