Federal Bank Q2 profit surges 52% YoY to Rs 425 crore, NII jumps 12%

NEW DELHI: Federal Bank on Wednesday posted a 51.58 per cent year-on-year (YoY) rise in consolidated net profit at Rs 425.34 crore for the quarter ended September 2019.

The private sector lender had reported a net profit of Rs 280.61 crore in the corresponding quarter last year.

Analysts in an ETNow poll had projected a net profit of Rs 430.50 crore.


Net interest income (NII) of the lender increased 12.42 per cent YoY to Rs 1,182.53 crore in Q2FY20 over Rs 1,051.84 crore in Q2FY19. ETNow poll expected NII at Rs 1,200.40 crore.

Provisions and contingencies inched lower to Rs 253.43 crore during the quarter under review against Rs 285.60 crore in the same period last year. The figure stood at Rs 193.32 crore in the preceding quarter ended June 2019.

Earnings Report Card:

Net Profit	Rs 425 crore	Up 52%
NII	Rs 1,183 crore	Up 12%
Provisions	Rs 253 crore	Down 12%

All figures are on YoY basis

Shares of Federal Bank traded 3.43 per cent down at Rs 81.60 after the announcement of corporate results, while the benchmark BSE Sensex was down 40 points, or 0.11 per cent, at 38,465.

Asset quality of the lender deteriorated marginally with percentage of gross non-performing assets rising to 3.06 per cent against 2.98 per cent on quarter-on-quarter (QoQ) basis. The figure stood at 3.10 per cent in the same quarter last year.

Percentage of net NPA came at 1.60 per cent over 1.50 per cent QoQ.