Federal Bank Delivers Robust 18.33% Growth in Net Profit at Rs.167.31 Cr

Federal Bank announced the Unaudited Financial Results for the quarter ended 30^th June 2016. The key highlights of the results on a Y-o-Y basis are as follows:

• Operating profit soars by 15.97%

• Total Business increases by 15.25%

• NRE Deposits surge by 24.54%

• Total advances increase by 19.30%

• SME Advances clock a growth of 17.79%

Working Results at a Glance

                                                                       (Rs. in Crore)

Balance Sheet

The Total Business of the Bank registered a Y-o-Y growth of 15.25% to reach Rs.140249.79 Cr as on 30^th June 2016. While Total Deposits increased by 12.47% to reach Rs.81,132.11 Cr, Total Advances grew by 19.30% to Rs.59,117.68 Cr as on 30^thJune 2016.

CASA Deposits of the Bank grew 18.09% Y-o-Y to reach Rs.26,634.51Cr. CASA as a percentage to Total Deposits increased to 32.83% as against 31.26% during the corresponding period last year. NRE Deposits grew by 24.54% from Rs.25791.55 Cr to Rs. 32120.83 Cr.

On the Asset side, while SME Advances registered a growth of 17.79% to touch Rs.15,325.04Cr, the Large Corporate Advances of the Bank records a growth of 36.77% to reach Rs. 20693.35 Cr.

Operating Profit & Net Profit

The Operating Profit of the Bank as on 30^th June 2016 stood at Rs.425.86 Cr up from Rs.367.21 Cr as at the end of Q1FY16. While the Net Total Income grew 16.40% Y-o-Y to reach Rs.929.72 Cr, Other Income recorded a Y-o-Y growth of 22.48% from Rs.193.94Cr for the quarter ended 30^th June 2015 to Rs.237.54 Cr for the quarter ended 30^th June 2016. The Net Profit of the Bank as at the end of the current quarter stood at Rs.167.31 Cr with a Y-o-Y growth of 18.33%.

Margins

Net Interest Income grew 14.45% on a Y-o-Y basis from Rs.604.76 Cr during the corresponding quarter last year toRs.692.17 Cr this quarter. Net Interest Margin as on 30^th June 2016 stood at 3.28%.

Asset Quality

The Gross NPA of the Bank as at the end of the quarter stood at Rs. 1747.31 Cr, which as a percentage to Gross Advances comes to 2.92%. The Net NPA as on 30^th June 2016 stood at Rs. 994.50 Cr, and the Net NPA as a percentage to Net Advances is at 1.68%. Loan Loss Provisions and Credit Cost reduced by more than 50% to Rs. 126.78cr and 0.86% sequentially.  The Provision Coverage Ratio (including technical write-offs) is 72.09%.

Net Worth & Capital Adequacy

Bank’s Net worth on a Y-o-Y basis increased from Rs.7889.84 Cr to Rs.8093.29 Cr as on 30^th June 2016. The Capital Adequacy Ratio (CRAR) of the Bank, computed as per Basel III guidelines stood at 13.59% as at the end of the quarter.

Footprint

The Bank has 1252 branches and 1551 ATMs as on 30^th June 2016.

Q1FY16 Vs Q1FY17

• Net Total Income for Q1 grew by 16.40 % on a y-o-y basis to Rs.929.71 Cr.

• Net Interest Income increased by 14.45% to Rs.692.17 Cr

• Total Deposits increased by 12.47 % from Rs.72,139.67Cr to Rs.81,132.11 Cr.

• Savings deposits grew by 20.04% to reach Rs.22,668.39 Cr

• CASA grew by 18.09% to reach Rs.26,634.51Cr

• CASA ratio improved to reach 32.83%.

• NRE deposits grew by 24.54% to reach Rs.32,120.83 Cr

• Advances increased by 19.30% from Rs.49,551.75 Cr to Rs.59,117.68 Cr.

• SME Advances registered a growth of 17.79% to reach Rs.15,325.04Cr.

• Investments stood at Rs.22850.96 Cr

• Book Value per share increased  to Rs. 47.07 from Rs. 45.98

Major Financial Indicators (Standalone nos.)

                                                                                                                                                                              (Rs. in Cr)