Karnataka Bank reported the results for the third quarter of fiscal year 2025 on Friday, January 31, 2025.
The company reported a net profit of ₹283.6 crore for the three months ended December 2024, representing a decline of 14.3% compared to last year. It reported a profit of ₹331 crore a year ago.
The net interest income (NII) was at ₹792.8 crore for the quarter, 4.2% lower than ₹827.6 reported a year earlier.
The lender reported a net non-performing assets (NNPA) ratio of 1.39%. In the prior quarter, the NNPA was at 1.46%. The company's gross NPA came in at 3.11%, lower than the 3.21% reported last quarter.
The bank also reported significant progress in its 9M FY25 financials, with aggregate business reaching an all-time high of ₹1.78 trillion. The bank showed improvements in both gross advances and asset quality, with a reduction in gross and net NPAs.
Gross advances grew by 11.64% year-on-year to ₹77,859.75 crore, while aggregate deposits rose by 8.59% to ₹1,00,118.52 crore. The bank's asset quality improved, with gross NPAs declining by 42 basis points to 3.11%, and net NPAs reducing by 19 basis points to 1.39% compared to March 2024.
Managing Director and CEO Shri Srikrishnan H highlighted the benefits of the bank's transformative initiatives, including growth in retail and mid-corporate segments and digital channel traction. Executive Director Shri Sekhar Rao emphasized the bank's focus on operational efficiency and risk management amid a challenging macroeconomic environment.
Karnataka Bank ended 0.6% higher at ₹191.60 on Friday.
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