November 5, 2016
Punjab National Bank declares Quarterly Results(Q2) FY’17
Smt. Usha Anathasubramanian, Managing Director & CEO of Punjab National Bank declared Quarterly Results of the Bank alongwith Dr. Ram S. Sangapure and Sh. Sanjiv Sharan Executive Directors, for second quarter of FY’17 with the global business of Rs. 9.69 lac crore. While the global deposits of the Bank reached Rs. 5.75 lac crore, the net advances stood at Rs. 3.94 lac crore as on September 30, 2016. The bank continued to register double digit y-o-y growth of 11.1% in CASA deposits which stood at Rs. 2.17 lac crore backed by a robust growth in savings deposits at 14.2% (y-o-y). The share of CASA deposits in domestic deposits at 42.10% in September’16 consistently remained above 40%. The Bank has reduced its bulk deposits which has brought down the Cost of Deposits from 5.95% in June’16 to 5.36% in September’16. The Bank has reoriented its business model in alignment with the economic scenario towards small ticket advances i.e, Retail, MSME and Agriculture, which grew by 11.7%.
- In terms of Bottom Line parameters, the Bank has registered Net Profit of Rs 549 crore in Q2 FY’17. The Bank’s Operating Profit also increased from Rs 2939 crore in Q2 FY’16 to Rs 3312 crore in Q2 FY’17. This was due to robust growth in Non Interest Income (76% on YoY basis). The Bank’s Trading Profit doubled from Rs 327 crore in Q2FY’16 to Rs 654 crore in Q2FY’17. The Bank registered improvement all across investor’s ratios. Net Interest Margin (NIM) increased both globally and domestically and for Q2 FY’17 stood at 2.86% as against 2.80% in Q1 FY’16. Similarly, Return on Assets (RoA) improved to 0.32% in Q2 FY’17 over a ratio of 0.18% in Q1 FY’17, while Return on Networth increased to 5.72% sequentially from 3.43% in Q1 FY’17.
- The Bank continues to lay emphasis on improving the asset quality. The cash recovery and up gradation reached Rs. 10,778 crore thus crossing the landmark of Rs 10,000 crore for the half year ended September’16. This has resulted in reduction in stressed assets. The Provision Coverage Ratio increased from 52.50% in June’16 to 53.32% in Sep’16.
- The capital adequacy ratio improved from 11.58% as at the end of June’16 to 11.65% as at end of Sep’16 and stood above the regulatory requirement.
photo Caption:
Smt. Usha Anathasubramanian, Managing Director & CEO of Punjab National Bank declaring Quarterly Results of the Bank along with Dr. Ram S. Sangapure and Sh. Sanjiv Sharan Executive Directors, for second quarter of FY’17 in New Delhi
