Active Stocks
Sat Mar 02 2024 12:49:58
  1. Tata Steel share price
  2. 155.15 3.43%
  1. HDFC Bank share price
  2. 1,430.35 -0.06%
  1. State Bank Of India share price
  2. 773.05 0.49%
  1. Tata Motors share price
  2. 988.40 1.15%
  1. Wipro share price
  2. 522.65 0.67%
Business News/ Industry / Banking/  AU Small Finance Bank Q3 results: Net profit jumps to 479 crore, NII rises 25%
BackBack

AU Small Finance Bank Q3 results: Net profit jumps to ₹479 crore, NII rises 25%

The bank’s provisions rose to ₹283.62 crore in the third quarter from ₹40.1 crore a year ago
  • AU Small Finance Bank said the demand has normalised in most segments during the December 2020 quarter
  • AU Small Finance Bank Q3 results: The total income during the October-December 2020 period also jumped 94% to ₹1,297 crorePremium
    AU Small Finance Bank Q3 results: The total income during the October-December 2020 period also jumped 94% to 1,297 crore

    AU Small Finance Bank on Thursday reported a massive jump in net profit to 479.02 crore for the quarter ended in December, 2020. The lended posted a net profit of 190.19 crore for the corresponding quarter last year.

    The total income during the October-December 2020 period also jumped 94% to 1,297 crore from 668 crore a year ago, the bank said in a release. Net interest income grew 25% to 633 crore.

    The bank’s provisions rose to 283.62 crore in the third quarter from 40.1 crore a year ago. Gross non-performing assets stood at 1% cent of gross advances as on 31 December, 2020 compared to 1.9% as on 31 December, 2019. Net NPAs stood at 0.2% at the end of the third quarter compared to 1% a year ago.

    “In the third quarter of the fiscal, AU Small Finance Bank restructured 251 crore (0.8% of gross advances), mainly in the bus, taxi (within wheels) and schools, apparels," the bank said.

    AU Small Finance Bank said the demand has normalised in most segments during the December 2020 quarter, it is expected to be significantly better.

    Commenting on the results, Sanjay Agarwal, managing director and chief executive officer, AU Small Finance Bank, said, "I believe the worst is behind us, things are going to get better now with the public vaccination in horizon." He added that the lender is working on various digital properties to create a holistic digital bank.

    The lender said attractive merchant offers with larger partners like Amazon, Flipkart, Myntra, Swiggy, Zomato and Dominos led to higher customer engagement and balances build-up. It also entered into partnerships with Care Health Insurance and ICICI Prudential Life Insurance as part of the enhanced third-party product range. On the digital footprint, the lender said it is available on all channels such as UPI, FASTag, Bharat Bill Payment System (BBPS), and Aadhaar-enabled Payment System (AePS).

    "Basis the normalised environment and re-emergence of growth, the bank is moving ahead with an annual performance appraisal (increments) for 2019-20 for all employees in this quarter. The bonus has already been paid out in the third quarter of 2020-21, the lender added.

    Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

    Catch all the Industry News, Banking News and Updates on Live Mint. Check all the latest action on Budget 2024 here. Download The Mint News App to get Daily Market Updates.
    More Less
    Published: 28 Jan 2021, 10:29 PM IST
    Next Story footLogo
    Recommended For You
    Banking Stocks
    ₹1,099.35-0.27%
    ₹1,431.15-0.06%
    ₹1,086.9-0.21%
    ₹124.850.72%
    ₹769.30.49%
    Switch to the Mint app for fast and personalized news - Get App