Bandhan Bank Shares Hit Over Four-Month High As Profit Jumps, Provision Declines

Share price of Bandhan Bank rose nearly 5% in Friday's trading session after the company reported a nearly sixfold increase in net profit for the quarter ended March.

The bottom line of the Kolkata-headquartered lender rose 481% to Rs 317 crore versus Rs 54.6 crore in the year-ago period, according to financial results released on Wednesday. Analysts' consensus estimates compiled by Bloomberg estimated Rs 467 crore.

The provisions (other than tax) and contingencies were lower by 29% at Rs 1,260 crore compared to Rs 1,774 crore in the March quarter of FY24. On a sequential basis, it fell 8.41%. The net interest income declined 4% to Rs 2,756 crore. Net interest margin for the quarter was 6.7%.

Asset quality marginally deteriorated with the share of gross non-performing assets rising to 4.71% from 4.68% in the previous quarter. Net NPA stood flat at 1.28%.

Bandhan Bank's board recommended a dividend of Rs 1.5 apiece for the financial year ended March 31 for the approval of shareholders at the annual general meeting.

Bandhan Bank Share Price Today

The scrip rose as much as 4.72% to Rs 173.43 apiece, the highest level since Dec. 12, 2024. It pared gains to trade 0.47% lower at Rs 164.81 apiece, as of 10:24 a.m. This compares to a 0.98% advance in the NSE Nifty 50 Index.

Share price has risen 3.58% on a year-to-date basis but has fallen 13.63% in the last 12 months. Total traded volume so far in the day stood at 1.59 times its 30-day average. The relative strength index was at 52.27.

Out of 29 analysts tracking the company, 14 maintain a 'buy' rating, 10 recommend a 'hold,' and five suggest 'sell,' according to Bloomberg data. The average 12-month consensus price target implies an upside of 7.4%.