Central Bank of India reported a 51% year-on-year surge in net profit to ₹913 crore for the second quarter ended September 2024, as per an exchange filing. The state-run bank attributed this impressive growth to lower provisions and stronger operational performance during the July-September period.
The bank’s net interest income rose by 13% to ₹3,411 crore, compared to ₹3,023 crore in the same quarter last year. Additionally, the net interest margin (NIM) improved by 15 basis points to 3.44% from 3.29% in the previous fiscal’s corresponding quarter.
Also read: Integrum Energy Files for ₹49.5 Crore SME IPO Opportunity!
On a sequential basis, gross non-performing assets (NPA) increased slightly to 4.59% from 4.54% in the preceding quarter. However, net non-performing assets (NPA) saw an improvement, dropping to 0.69% in Q2 FY25 from 0.73% in the previous quarter.
Also read: Nestle India Q2 FY25 Net Profit Up 8.6% to ₹986.4 Crore!
CASA deposits grew 4.61% year-on-year, reaching ₹1.91 lakh crore, and accounted for 48.93% of the bank’s total deposits. The credit-to-deposit ratio also improved by 228 basis points to 64.71%, indicating stronger lending activity compared to the previous year.
Provisions and contingencies saw a sharp reduction, falling by 38% to ₹598.06 crore. As a result, the bank’s operating profit jumped 41% to ₹2,164.93 crore, further highlighting Central Bank of India’s strong financial performance in the second quarter.
