Punjab National Bank shares surged as much as 7.29 per cent to an intraday high of Rs 141.25 after the state-run lender reported better-than-expected earnings and a slight improvement is asset quality in the September quarter.
Delhi-based Punjab National Bank reported net profit of Rs 549 crore on net interest income of Rs 3,880 crore, compared with net profit of Rs 621 crore during the same quarter last year.
Analysts, on an average, had expected the bank to report net profit of Rs 484 crore, according to Thomson Reuters data.
Its asset quality improved slightly in the September quarter as gross non-performing loans as a percentage of total loans fell to 13.63 per cent as of end-September, from 13.75 per cent at end-June.
The stellar listing of PNB Housing Finance, a subsidiary of PNB, also boosted the sentiment in the stock. PNB Housing Finance shares made a strong debut on exchanges on Monday. Its shares surged as much as 16 per cent to Rs 902.8 compared to its issue price of Rs 775.
Shares of Punjab National Bank closed 6.68 per cent higher at Rs 140.45, outperforming the Nifty ended 0.75 per cent higher.
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