Federal Bank Ltd.'s net profit rose for the sixth consecutive quarter, beating analyst estimates.
Kerala-based lender's bottomline rose 31.3 percent year-on-year to Rs 264 crore in the July-September quarter of the current financial year, the bank said in a stock exchange filing today. The consensus of analyst estimates tracked by Bloomberg stood at Rs 254 crore.
The net interest income, the lender's core income from operations, rose 23.8 percent from the corresponding period last year, the filing showed.
The lender's asset quality improved marginally. Gross bad loans fell to 2.39 percent from 2.42 percent in the previous quarter. Net non-performing assets, as a percentage of total loans declined to 1.32 percent. Provisions for bad loans fell to Rs 176.7 crore from the Rs 236.4 crore the bank had provided in the June-ended quarter.
Slippages for the quarter stood at Rs 284 crore during the July-September quarter, Ganesh Sankaran, executive director at Federal Bank told BloombergQuint over the phone.
The bank's loan book has demonstrated growth across all segments - retail, agriculture, small and medium enterprises and wholesale, Sankaran The bank sees some pressure on the agri loan book in the coming quarters, he added, while ruling out concerns on the wholesale and SME front.
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