Federal Bank Q4 Results: Net profit flat at Rs 906 crore

Private sector Federal Bank on Thursday reported a flat net profit for the March quarter at Rs 906 crore helped by provision write backs while its operating profit fell 17% year-on-year due to higher staff cost.

Net profit was at Rs 903 crore in the year-ago period.

The bank's operating profit for the quarter was lower at Rs 1110 crore due to 41% higher operational expenses including Rs 162 crore one-time pension-related staff cost, offsetting 15% higher net interest income at Rs 2195 crore, its highest ever.


The net interest margin for the quarter however shrank to 3.21% as compared with 3.36% for the same period last year.

The lender's asset quality improved with gross non-performing assets ratio falling to 2.13% at the end of March from 2.36%. Net NPA stood at 0.6% against 0.69%. Provision coverage ratio excluding technical write off was 71.08%.

Its net advances rose 20% year-on-year to Rs 2.09 lakh crore at the end of March while total deposits rose 18.4% to Rs 2.53 lakh crore.

The board recommended a final dividend of Rs1.20 per equity share of the bface value Rs 2 each for FY24.