Allahabad Bank's net profit rises 29% on treasury gains

KOLKATA: State-run Allahabad Bank reported a 28.5% jump in net profit for the quarter to March 2015, riding on treasury gains.

Net profit for the quarter was Rs 202.6 crore, up from Rs 157.8 crore a year ago month while operating profit grew 20.8% at Rs 1009 crore (Rs 835 crore).

Several other banks including Punjab National Bank or United Bank of India have shown higher profit from treasury operation with Reserve Bank of India ensuring comfortable liquidity in the market.

Allahabad Bank’s trading profit stood at Rs 153 crore, 5.5 times higher than in the corresponding quarter last year. Its total income improved by a marginal 3% at Rs 5391 crore.

The asset quality of the lender improved during the quarter as gross non-performing assets (NPAs) as percentage of gross advances fell to 5.46% from 5.73% a year ago. Net NPAs was at 3.99% as against 4.15% a year back.