<p class="bodytext">State owned banks continued their impressive performance in the October-December quarter (Q3FY24), with three public sector lenders reporting positive numbers on Wednesday.</p>.<p class="bodytext">Bengaluru-headquartered Canara Bank said its net revenue jumped 26.9% year-on-year to Rs 3,656 crore, from Rs 2,923 crore in the same quarter last financial year, higher than street estimates. Net interest income, or the bank’s core income, rose 9.5% year-on-year to Rs 9,417 crore, while other income rose 7.7% to Rs 4,295 crore.</p>.<p class="bodytext">The lender also saw an improvement in asset quality, as the gross non-performing asset (NPA) ratio fell 37 basis points quarter-on-quarter to 4.39%.</p>.<p class="bodytext">Net interest margin (NIM) was reported at 3.02% after improving by 9 basis points, but remained flat sequentially owing to pressured deposits from regulatory actions. Current and savings account (CASA) deposits grew by 5.05%, while domestic deposits grew up by 8.07% to Rs 11.67 lakh crore.</p>.<p class="bodytext">“Though there is pressure on interest rates on deposits, we were able to maintain NIM above 3%. Our area of concern continues to be CASA. Though it has grown, it has not matched the extent of deposit growth,” Canara Bank managing director and chief executive officer K Satyanarayan Raju told reporters at a press conference.</p>.<p class="bodytext">Chennai-based Indian Bank also reported positive Q3 financials on Wednesday, with a 52% jump in net profit at Rs 2,119 crore compared to Rs 1,396 crore in the same quarter a year ago. The operating profit of the bank was almost flat at Rs 4,097 crore as against Rs 4,061 crore.</p>.<p class="bodytext">Total income increased to Rs 16,099 crore during the quarter under review as compared to Rs 13,551 crore in the same period last year, Indian Bank said in a regulatory filing. The bank’s gross NPAs declined to 4.47% of the gross loans in Q3 from 6.53% a year ago.</p>.<p class="bodytext">Indian Overseas Bank (IOB) reported a 30% rise in net profit at Rs 723 crore in Q3 compared to Rs 555 crore in the year ago period. Operating profit of the bank improved to Rs 1,780 crore as against Rs 1,540 crore reported in December 2022. Total income increased to Rs 7,437 crore during the quarter under review from Rs 6,006 crore in the same period last year, IOB said in a regulatory filing. NPAs declined to 3.90% of gross loans by the end of December 2023 from 8.19% a year ago.</p>
<p class="bodytext">State owned banks continued their impressive performance in the October-December quarter (Q3FY24), with three public sector lenders reporting positive numbers on Wednesday.</p>.<p class="bodytext">Bengaluru-headquartered Canara Bank said its net revenue jumped 26.9% year-on-year to Rs 3,656 crore, from Rs 2,923 crore in the same quarter last financial year, higher than street estimates. Net interest income, or the bank’s core income, rose 9.5% year-on-year to Rs 9,417 crore, while other income rose 7.7% to Rs 4,295 crore.</p>.<p class="bodytext">The lender also saw an improvement in asset quality, as the gross non-performing asset (NPA) ratio fell 37 basis points quarter-on-quarter to 4.39%.</p>.<p class="bodytext">Net interest margin (NIM) was reported at 3.02% after improving by 9 basis points, but remained flat sequentially owing to pressured deposits from regulatory actions. Current and savings account (CASA) deposits grew by 5.05%, while domestic deposits grew up by 8.07% to Rs 11.67 lakh crore.</p>.<p class="bodytext">“Though there is pressure on interest rates on deposits, we were able to maintain NIM above 3%. Our area of concern continues to be CASA. Though it has grown, it has not matched the extent of deposit growth,” Canara Bank managing director and chief executive officer K Satyanarayan Raju told reporters at a press conference.</p>.<p class="bodytext">Chennai-based Indian Bank also reported positive Q3 financials on Wednesday, with a 52% jump in net profit at Rs 2,119 crore compared to Rs 1,396 crore in the same quarter a year ago. The operating profit of the bank was almost flat at Rs 4,097 crore as against Rs 4,061 crore.</p>.<p class="bodytext">Total income increased to Rs 16,099 crore during the quarter under review as compared to Rs 13,551 crore in the same period last year, Indian Bank said in a regulatory filing. The bank’s gross NPAs declined to 4.47% of the gross loans in Q3 from 6.53% a year ago.</p>.<p class="bodytext">Indian Overseas Bank (IOB) reported a 30% rise in net profit at Rs 723 crore in Q3 compared to Rs 555 crore in the year ago period. Operating profit of the bank improved to Rs 1,780 crore as against Rs 1,540 crore reported in December 2022. Total income increased to Rs 7,437 crore during the quarter under review from Rs 6,006 crore in the same period last year, IOB said in a regulatory filing. NPAs declined to 3.90% of gross loans by the end of December 2023 from 8.19% a year ago.</p>