CSB Bank Q3 net up 5%; treasury income fall hurts

Mumbai: Fairfax-controlled CSB Bank reported a modest rise in its December quarter profit as treasury income fell. The Kerala-based lender posted a 5% rise in its December quarter profit to ₹156 crore versus ₹148.25 crore in the same period last year.

The lender's net interest income, or the difference between interest earned and expended, was up 15% at ₹350 crore. The bank grew its total advances at 24% on-year to ₹19,342 crore. The single biggest contributor to total loans was gold loans, which climbed 51% to ₹8,780 crore. Total deposits grew by 19% on-year to ₹22,664 crore.

The gross non-performing asset ratio improved to 1.45% versus 2.62% a year ago. The net NPA ratio improved to 0.42% versus 1.36% a year ago.


"In the coming quarters, while leveraging our core competencies in the gold loan business, we will put more focus to grow the retail segment, both the retail liabilities and assets (other than gold) - with various revamped products and process improvements happening and proposed," said Pralay Mondal, managing director at CSB Bank. "We are perfecting the retail structure with the right manpower, policy rollouts, technology, collection framework, and partnership tie-ups."