New Delhi: Indian private sector lender Federal Bank Ltd's fiscal fourth quarter (Jan-Mar) net profit surged 38.36% to Rs 2.37 billion from Rs 1.71 billion in the same period previous fiscal year on account of huge fall in provisioning for bad loans and rise in income from interest.
Net interest income of the bank in the three months to March 31, 2012 was at Rs 4.91 billion, up 9.73%, from Rs 4.47 billion in the corresponding period a year ago 2010-11, Federal Bank said in a filing to stock exchanges Friday.
Total income of the private sector lender for the quarter increased 32% to Rs 16.4 billion from Rs 12.41 billion in the same quarter last year.
Federal Bank's outstanding advances as on March 31, 2012 were at Rs 377.56 billion, rising by 18.16%, from Rs 319.53 billion a year ago, while its total deposits as on March 31, 2012 at Rs 489.37 billion, rose by 13.76%, as compared to Rs 430.14 billion a year ago.
Gross non-performing assets (NPAs), or bad loans, fell to 3.35% of advances as on March 31, 2012 from 3.49% in the same period previous fiscal year, while its net NPAs dropped to 0.53% from 0.60%.
Federal Bank provided Rs 155.1 million towards bad loans and contingencies in the quarter ended March 31, 2012, down 80.47%, from Rs 794.2 million in the same period previous fiscal year.
The bank's capital adequacy ratio -- the amount of capital in proportion to a lender's advances -- was at 16.64% at the end of the quarter, as compared to 16.79% in the year-ago period.
Its net interest margin (NIM) for the full fiscal 2011-12 was at 3.79%.
The bank's board of directors recommended a dividend payout of Rs 9 per share on face value of Rs 10 each for the fiscal 2011-12.
Shares of Federal Bank Friday were trading at Rs 415.1 on the Bombay Stock Exchange (BSE) at 2:49 pm, up 1.67% from the previous close.