PNB swings to profit in Q3 as NPAs drop

NEW DELHI: State-owned Punjab National Bank (PNB) on Friday reported a standalone net profit of Rs 506.03 crore for the December quarter on the back of a reduction in bad assets.

It had posted a net loss of Rs 492.28 crore in the yearago period.

Total income in the quarter under review rose to Rs 23,298.53 crore as against Rs 15,967.49 crore earlier, PNB said in a regulatory filing.

Net interest income grew by 28 per cent to Rs 8,313 crore. Also, total expenditure of the bank fell by 10.9 per cent to Rs 16,908 crore.

Provisions for bad loans and contingencies stood at Rs 5,432.60 crore for the October-December period of 2020-21, higher than Rs 4,146.04 crore parked aside for the year-ago period.

The gross non-performing assets (NPAs) as a percentage of gross advances fell to 12.99 per cent as of December-end 2020 from 16.30 per cent earlier.

In absolute value terms, gross non-performing assets stood at Rs 94,479.33 crore as against Rs 76,809.20 crore.