South-based Karur Vysya Bank on Friday reported an over two-fold jump in its net profit to Rs 213.47 crore in the March 2022 quarter on the back of a fall in bad loans.
The bank had posted a net profit of Rs 104.37 crore in the same quarter of the previous fiscal.
Total income during Q4 FY22 rose 6.3 percent to Rs 1,614.75 crore from Rs 1,518.39 crore in Q4 FY21, Karur Vysya Bank said in a regulatory filing.
The bank's interest income grew 4.4 percent to Rs 1,409.27 crore during the quarter. For the full 2021-22, its net profit jumped 87.3 percent to Rs 673.27 crore against Rs 359.39 crore in 2020-21, the bank said.
Total income for the year was marginally down at Rs 6,356.73 crore compared to Rs 6,389.25 crore in the preceding fiscal.
The lender's asset quality showed improvement, with the gross non-performing assets (NPAs) falling to 5.96 percent of the gross advances as of March 31, 2022, from 7.85 percent a year ago.
In value terms, the gross NPAs of the bank stood at Rs 3,431 crore, down from Rs 4,142.87 crore.
Likewise, the net NPAs or bad loans declined to 2.28 percent (Rs 1,260.79 crore) from 3.41 percent (Rs 1,719.39 crore).
However, the private sector bank parked aside a higher amount of Rs 140.12 crore towards provisioning for bad loans and contingencies for the March 2022 quarter against Rs 24.06 crore put aside for the year-ago quarter.
But for the full 2021-22, the provisioning for bad loans and contingencies were down at Rs 699.29 crore compared to Rs 757.14 crore in FY21.
Among others, the lender said it has neither transferred any stressed loans and loans in default nor has acquired any stressed loans/loans classified as NPA during the quarter and the year ended March 2022.
Provision coverage ratio as of March 31, 2022, stood at 80.27 percent (72.70 percent in FY21), the bank said.
The board of directors have recommended a dividend of 80 percent or Rs 1.60 per equity share for the year 2021-22, subject to the approval of shareholders at the ensuing annual general meeting, Karur Vysya Bank said.
Shares of the bank closed 0.90 percent up at Rs 44.65 apiece on BSE.
(With PTI inputs)