“The bank did not get lend to corporate sector, large consortium or the infrastructure sector, which are the top stressed sectors currently contributing to larger NPAs,” N Kamakodi, managing director and CEO, said as he spoke on the bank’s asset quality.
The Tamil Nadu-based bank’s gross non-performing assets (NPAs) increased to Rs 977.05 crore in Q4FY19, as against Rs 856.55 crore in Q4FY18. However, the gross NPA margin reduced to 2.95% in this March quarter from 3.03% in the same quarter last year.
The bank’s deposits went up by 17% at Rs 38,447.98 crore against Rs 32,852.62 crore on a year-on-year basis. The bank had recovered Rs 98 crore, comprising live recovery worth Rs 60 crore and Rs 38 crore from written-off assets.
During Q4FY19, the bank’s total income rose by 14% to Rs 1131.44 crore. The net interest income also shot up by Rs 52.65 crore to Rs 420.60 crore compared to last year.
The board recommended a dividend of Re 0.50 paisa per equity share; i.e., 50% on face value of Re 1 per equity share of the bank, subject to requisite approvals.
News credit : Indiatimes