Federal Bank announced the Financial Results for the quarter ended 31st December 2023. The key highlights of the results on a Y-o-Y basis are as follows:
- Total Business of the Bank reached Rs 39 Cr
- Net Profit highest ever @ Rs 1006.74 Cr, grew 25.28 %
- Operating Profit @ Rs 1437.33 Cr
- ROA for Q3 stood at 1.39% and ROE stood at 14.80 %
- GNPA and NNPA at 2.29% and 0.64% respectively.
- Total Deposits increased by 18.96 %
- Total Net Advances increased by 18.44 %
- Highest ever Net Interest Income at ₹36 Cr, grew by 8.53 %
WORKING RESULTS AT A GLANCE (Rs.in Cr)
| Particulars | Q3 | Q3 | % y-o-y growth |
| 2023-24 | 2022-23 | ||
| Net Profit | 1006.74
| 803.61 | é25.28% |
| Total Income | 6592.66 | 4967.25 | é32.72% |
| Operating Profit | 1437.33 | 1274.21 | é12.80% |
| Net Interest Income | 2123.36 | 1956.53 | é8.53% |
| Total Business | 438776.39 | 369581.25 | é18.72% |
Strong Growth – Resilient Balance Sheet Performance
Total Business of the Bank reached Rs. 438776.39 Cr registering a growth of 18.72% as on 31st December 2023.
Total Deposits increased from Rs.201408.12 Cr as on 31st December 2022 to Rs.239591.16 Cr as on 31st December 2023.
On the Asset side, Net advances increased from Rs 168173.13 Cr as on 31st December 2022 to Rs. 199185.23 Cr on 31st December 2023. Retail Advances grew by 20.39 % to reach Rs.65041.08 Cr. Business Banking advances grew by 17.80 % to reach Rs.16679.75 Cr. Commercial Banking grew by 25.99% to Rs.20773.55 Cr. Corporate Advances registered a growth of 14.38 % to reach Rs.71978.41 Cr. The CV/ CE advances grew by 66.06 % to reach Rs 3057.00 Cr.
Highest Ever Net Profit
The Bank registered Operating Profit of Rs.1437.33 Cr and Net Profit of Rs.1006.74 Cr for the quarter ended 31st December 2023. Operating profit recorded a commendable growth of 12.80 % on a year-on-year basis.
Remarkable Income Parameters
Net Interest Income grew 8.53 % from Rs.1956.53 Cr to Rs.2123.36 Cr as on 31st December 2023. Total income of the Bank grew 32.72% to reach Rs.6592.66 Cr. Earnings per share (EPS) annualized is Rs 16.54.
Key Ratios
ROA & ROE of the Bank for the quarter stood at 1.39% and 14.80% respectively.
Robust Asset Quality
Gross NPA of the Bank as at the end of Q3 FY23 stood at Rs. 4628.79 Cr, which as a percentage to Gross Advances stood at 2.29%. The Net NPA and Net NPA as a percentage to Net Advances as on 31st December 2023 stood at Rs. 1284.37 Cr and 0.64% respectively. Provision Coverage Ratio excluding Technical Write Off was 71.08%.
Net Worth & Capital Adequacy
Net worth of the Bank increased from Rs.20456.75 Cr to Rs.28084.72 Cr, as on 31st December 2023. Capital Adequacy Ratio (CRAR) of the Bank, computed as per Basel III guidelines stood at 15.02% as at the end of the quarter.
MAJOR FINANCIAL INDICATORS (Standalone Nos) (Rs. in Cr)
| Business Figures | As on 31.12.2023 | As on 31.12.2022 | Growth (%) |
| Total Deposits | 239591.16 | 201408.12 | é18.96% |
| Net Advances | 199185.23 | 168173.13 | é18.44% |
| CB Advances | 20773.55 | 16488.74 | é25.99% |
| Retail Advances | 65041.08 | 54025.24 | é20.39% |
| Corporate Advances | 71978.41 | 62929.38 | é14.38% |
| Business Banking Advances | 16679.75 | 14159.87 | é17.80% |
| Agri Advances | 26646.60 | 20991.14 | é26.94% |
| Capital | |||
| Equity Capital | 486.68 | 422.91 | |
| Net Worth | 28084.72 | 20456.75 | é37.29% |
| Capital Adequacy (%) | 15.02 | 13.35 | |
| Tier I (%) | 13.48 | 12.13 | |
| Tier II (%) | 1.54 | 1.22 |
Mr. Shyam Srinivasan, Managing Director & CEO of Federal Bank, expressed his views on this remarkable achievement, “I am pleased that our team’s dedicated effort has helped us register an all-time high net profit of 1007 Crores, a significant milestone in the journey of any organization which is dedicated to both growth and excellence. With an increase of over 100 branches in the past calendar year and a similar number planned for this year, our growth trajectory is well poised to sustain this positive momentum.”
