Punjab & Sind Bank Q1 net profit rises 19% to Rs 182 crore

New Delhi: State-owned Punjab & Sind Bank on Friday reported a 19 percent rise in net profit to Rs 182 crore in the June 2024 quarter, helped by a decline in bad loans.

The Delhi-based lender had earned a net profit of Rs 153 crore in the year-ago period.

During the quarter, the bank's total income increased to Rs 2,846 crore against Rs 2,494 crore a year ago, Punjab & Sind Bank said in a regulatory filing.

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Interest income grew to Rs 2,652 crore during the period under review from Rs 2,316 crore in the corresponding quarter a year ago.

The bank's asset quality improved with Gross Non-Performing Assets (NPAs) declining to 4.72 percent of gross advances as of June 30, 2024, against 6.80 percent by the end of the April-June quarter in FY'23.

Net NPAs also declined to 1.59 percent of the advances from 1.95 percent at June-end FY'24.

Provisions for bad loans rose to Rs 103 crore against Rs 23 crore earmarked a year ago.

The bank’s Capital Adequacy Ratio also improved to 17.30 percent compared to 17.19 percent on June 30, 2023.

The board also approved to raise funds of Rs 3,000 crore by issue of Basel III compliant Additional Tier I Bonds/Tier II Bonds or any combination, it said.

Besides, the company's board gave a nod for raising Rs 5,000 crore by way of issue of long term infrastructure bonds.

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