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Private sector bank, RBL Bank posted a Net Profit of Rs 204.54 crores, rising 36% in the September-end quarter of the current fiscal, backed by rising interest income. The bank had earlier reported a net profit of Rs. 150.62 crores in the corresponding quarter of the previous fiscal.
The bank said in the regulatory filings that its core net interest income (NII) rose 41% to Rs 592.97 crore, whereas the non-interest income was up 38% Rs. 333.11 crores. The net NPA improved to 0.74% as against 0.78% at the September-end 2017.
On assets quality front, it reported a marginal decline in the gross non-performing assets (NPA) at 1.40% from the 1.44% in the year-ago period. The bank’s growth in advances portfolio rose by a 37% on year-on-year basis, RBL Bank said in a statement.
“The net advances as at 30 September 2018 were Rs 45,872.66 crore as against Rs 33,576.01 on 30 September 2017, with all-round growth observed in all business segments,” the statement read.
Vishwavir Ahuja, CEO at RBL Bank, said “We have remained strong and clean even amidst market volatility this quarter. Our focus remains on maintaining robust asset quality and building a solid funding profile. We expect to continue growing faster than the system for the rest of the fiscal year as well.”
Ahuja also made a remark on Morgan Stanley for reducing RBL Bank’s ratings, stating the US-based investment bank has got its math wrong. “They have changed our ratings thrice in the last four months. Just last month they hiked our target price to Rs 675 and within a month they have changed their view. Our results show that our liability franchise is more solid than they think.”
