Federal Bank Q3 net profit rises 9.18 per cent

KOCHI: Federal Bank has improved its financial performance for the third quarter ended December 31,2013. The net profit went up by 9.18 % to Rs 230.13 crore while the operating profit dipped 9.66 per cent to Rs 355.90 crore.

Total deposits increased 11.88 per cent to Rs 57,737.15 crore while advances rose 5.43 per cent to Rs 41,639.96 crore. In the advances category, SME advances grew by 38 per cent.

The bank managing director and CEO Shyam Srinivasan said the asset quality has improved which has resulted in lower NPAs. The net NPA improved to 0.86% from 0.92 per cent while the gross NPA dropped to 2.83 per cent from 3.85 per cent.

The total income grew 9.87 per cent to Rs 1895.92 crore. The net interest income too rose by 9.7 per cent to Rs 545.57 crore .

Shyam Srinivasan said the bank is hoping to open 80 to 100 branches every year and may recruit around 3000 persons in the next few years to meet the requirement as it expands.