RBL Bank profit doubles to Rs207 crore in 2014-15
The bank was helped by a growth in both interest and non-interest income
Mumbai: RBL Bank, formerly Ratnakar Bank Ltd, on Thursday said net profit in the year ended 31 March more than doubled to Rs.207 crore from Rs.93 crore in 2014-15.
However, RBL’s profit was depressed in the previous financial year because it had to pay a Rs.40 crore premium after it acquired some Indian assets of Royal Bank of Scotland Group Plc (RBS), which included commercial loans, loans against property, credit cards busioess and its loan-against-property portfolio.
In 2014-15, the bank was helped by a growth in both interest and non-interest income. Total interest income increased 44% to Rs.1,953 crore in the year ended March 2015 from Rs.1,352 crore a year ago.
Other income, or the money a bank earns through fees and commissions, increased 54% to Rs.403 crore from Rs.261 crore in the previous year.
The results will help the bank start its initial public offer (IPO), which is likely to hit the local market in the current financial year.
The bank has already hired four investment banks, Kotak Mahindra Capital Co Ltd, Citigroup Inc, Standard Chartered Plc and Morgan Stanley, to manage the issue in which it is seeking to dilute 10% stake and raise Rs.1,200 crore, valuing the lender at Rs.12,000 crore.
In 2014-15, the bank’s loan book grew 47% to Rs.14,450 crore, while net non-performing assets remained stable at 0.27% of net loans.
Editor's Picks »
- Compensation hiked for patients of J&J faulty hip implants
- Opinion | When will India’s war on air pollution finally begin?
- Small businesses facing liquidity crunch seek cheaper funds, leniency on bad loans
- 3 killed, 10 hurt in Amritsar grenade attack
- Now, Gujarat’s Getco opposes ArcelorMittal’s Essar Steel bid
- 5 issues that’ll dominate RBI board meeting tomorrow
- Future Retail’s Q2 result shows improvement in same-store sales
- Private insurance firms grow at the expense of LIC stuck with a sick bank
- Page Industries’s lofty valuations get a reality check in Q2
- Q2 results: Grasim’s Vodafone Idea stake is proving costly