Its operating profit stood 29% lower at Rs 1445 crore against Rs 2021 crore. Net interest income 4.5% at Rs 2688 crore while other income was 38% lower at Rs 691 crore.
Managing director Partha Pratim Sengupta attributed the fall in profit to a one-time income of Rs 538 crore from the credit guarantee fund it received in the year-ago period. There was no such income in the period under review.
The bank managed to reduce gross non-performing assets ratio to 3.33% from 5.02% seen three months prior by selling bad loans to the tune of Rs 3212 crore to asset reconstruction companies. This helped in lower provisions for the quarter.
“The stress is coming down with lower slippages every quarter,” Sengupta said. “We are focusing on the quality of assets and the impact of it should reflect from the next quarter.”
The bank is carrying a stressed pool of Rs 6051 crore which includes Rs 2310 crore from the microfinance book and Rs 2670 crore from the housing finance vertical.
Sengupta said that the stressed housing loans are less likely to slip into the non-performing category as these are mostly technical in nature.Bandhan’s gross advances grew 10% year-on-year to Rs 1.45 lakh crore with the share of secured book rising to 56.7% from 48.9% a year back. Total deposits rose 11% to Rs 1.57 lakh crore.
Home First Finance Q3 profit jumps 44% to Rs 140 crore
Home First Finance Company India, a lender with affordable housing focus, reported a 44% jump in net third quarter net profit at Rs 140 crore as compared with Rs 97 crore in the year ago period.
This was supported by steady business expansion and higher earnings. Its net total income rose 35% at Rs 290 crore.
The lender said its loan disbursement for the quarter under review grew by 11% year-on-year to an all time high of Rs 1,318 crore, helping the asset under management growing 25% to Rs 14,925 crore.
Its gross non-performing assets ratio was at 2% at the end of December, rising 10 basis points from what it was three months prior.