The bank had also reported a loss of Rs 279 crore in the year ago period. The loss this time was significantly lower compared to the corresponding period in FY21 owing to a 63 per cent dip in provisions and contingencies at Rs 187 crore as against Rs 501 crore earlier.
“Last couple of months have been challenging due to internal and external issues, despite that we focused on business and streamlined processes which lead to improved portfolio quality, higher business volumes and reduced attrition,” the bank’s new managing director Ittira Davis said.
The bank’s asset quality improved sequentially to 9.79 per cent at the end of December from 11.8 percent three months back while gross NPA was 0.96 per cent a year prior to that. The corresponding net NPA prints were 1.67 per cent, 3.29 per cent and 0.05 per cent respectively.
It wrote-off Rs 152 crore in the third quarter. Provision coverage ratio was at 84 percent. The bank said its collection efficiency was at 97 per cent in December, reaching the pre-covid level.
The bank’s operating profit was 30 per cent lower at Rs 141 crore against Rs 201 crore in the year ago period. Net interest income was at 454 crore against Rs 432 crore.
The net interest margin, a key profitability measure, was at 9.1 per cent in the December quarter against 9.7 per cent in the year ago quarter.
The bank’s gross advances rose 21 per cent year-on-year to Rs 16,463 crore while disbursements during the third quarter at Rs 4,809 crore was its highest ever.