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H1 net profit rises 30% for Federal Bank

Federal Bank registered a 30 per cent increase in net profit from Rs 182 crore to Rs 237 crore during the first half of this fiscal.

The total business of the bank during the period reached Rs 59,218 crore. Operating profit increased by 4 per cent from Rs 556 crore to Rs 581 crore, tax expenses increased from Rs 45 crore to Rs 142 crore, and provisions and contingencies decreased from Rs 329 crore to Rs 202 crore.

As per the un-audited financial results, the total deposits increased by 26 per cent to Rs 33,439 crore and net advances went up by 21 per cent to Rs 25,779 crore. Retail advances grew 15 per cent forming 29 per cent of the gross advances and advance to priority sector was at Rs 9,983 crore, accounting for 45 per cent of net bank credit.

The bank earned a total income of Rs 2,059.29 crore, registering a growth of 16 per cent. Interest income grew by 13 per cent to Rs 1,775.45 crore, while non-interest income grew by 42 per cent to Rs 284 crore. The net worth of the bank increased to Rs 4,536 crore while CRAR, computed according to Basel 1 guidelines, stands at 17.91 per cent.

The bank had a gross NPA of 2.99 per cent and net NPA of 0.54 per cent. The net interest margin is 3.51 per cent and the net NPA, Return on Average Assets and Capital Adequacy Ratio were at 0.54 per cent, 1.24 per cent and 17.91 per cent respectively for the 6 months.

Federal Bank offers the full complement of loans including home loans, vehicle loans and personal loans.

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