IDBI Bank net profit up 34% to Rs335 crore

IDBI Bank net profit up 34% to Rs335 crore

Mumbai: Public sector IDBI Bank Ltd on Saturday posted a net profit of Rs335.10 crore in the April-June quarter up 34% from Rs251 crore in the same quarter last year, mainly due to a strong growth in net interest income.

Net interest income at Rs1,152 crore rose 36% compared to Rs844 crore last year, the bank said in a press release.

Profit for the bank, though higher than last year was lower than Bloomberg’s estimates of Rs394.80 crore.

Net interest margins (NIMs), or the difference between interest earned and interest expended, improved to 2.07% compared to 1.61% last year.

However, total non performing loans increased to Rs3,287.76 crore from Rs2,640.15 crore last year.

Income from non-core activities like selling mutual funds, insurance and advisory fees also dropped to Rs430.90 crore from Rs472.87 crore.

On Friday IDBI stock ended at Rs129 a piece down 0.96% even as the benchmark 30-share Sensex ended 0.07% lower at 18,197 points.