PNB Net Profit Rises 306% in Dec Quarter
Delhi: Delhi-based public sector lender Punjab National Bank (PNB) declared a 306% increase in its net profit at .₹ 207 crore for the quarter ended December 2016 against .₹ 51 crore in the corresponding period last fiscal.
The bank’s asset quality, however, continued to deteriorate with gross non-performing assets (NPAs), or bad loans, rising to 13.7% of the gross advances during the third quarter of the current fiscal, against 13.63% in the previous quarter and 8.47% in the corresponding quarter a year ago. Net NPAs also increased to 9.09% of the net advances as of December quarter of 2016-17 from 5.86% in the same period last year.
“Profit during the quarter was driven by decline in cost of deposit, recovery of bad loans and rise in treasury income,” said PNB’s managing director Usha Ananthasubramanian. In absolute terms, the gross NPAs dropped marginally to .₹ 55,628 crore as of December 2016, from .₹ 55,818 crore.