Q2 results: Punjab & Sind Bank to announce Sept quarter earnings on November 3

Q2 results: Punjab and Sind Bank to hold Board of Directors meeting on November 3, said the lender in its stock filing on Friday. The government lender will announce its financial earnings for the September quarter and the first six months of FY23-24. 

The company shares closed 3.78% percent higher at ₹39.51 per share on BSE on Friday.

“A meeting of Board of Directors of Punjab & Sind Bank is scheduled to be held on November 03, 2023, at New Delhi, inter alia, to consider and approve Unaudited Reviewed Financial Results of the Bank for the Quarter (Q2) / Half Year ended September 30, 2023,” the government lender wrote in its filing on Friday. 

Unlike other PSU Banks, Punjab & Sind Bank was the only state-run lender to witness a drop in its net profit during the June quarter of the current financial year. Its bottom line fell by 25.42% to ₹152.67 crore at the end of June 2023.

The bank had reported a total income of ₹2494.37 crores during the April-June quarter of FY23-24 against ₹2651.98 crores in a year ago period. It posted a net profit of ₹152.67 crore in the June quarter. Its Gross NPA stood at ₹5464.16 crs in Q1 FY2024 against ₹ 8243.74 crs in Q1 FY2023.

The net NPA of the company was at ₹1488.97 crore in Q1 FY2024 against ₹1691.60 crore in the year-ago period. The net NPA of the company stood at 1.95% of Gross advances as of June 30, 2023.

All in all, PSU banks are improving their business and regaining investors confidence in the current financial year. However, Punjab and Sind Bank emerged to be an exception with its declining profit in the June quarter. For most of the PSU banks, analysts believe that their strong growth will continue for a couple of quarters.

“PSU banks are witnessing late benefits of credit growth and improving asset quality. The balance sheets of state-run lenders have improved and this improvement is expected to continue going for the next 2-3 quarters," Vinod Nair, Head of Research at Geojit Financial Services told Mint.