Karur Vysya Bank on Monday reported 59 per cent jump in net profit at Rs 338 crore for March quarter 2022-23 as bad loans fell.
The bank had posted a net profit of Rs 213 crore for the same quarter a year ago.
Total income during Q4 FY23 rose to Rs 2,169 crore from Rs 1,615 crore in Q4 FY22, Karur Vysya Bank said in a regulatory filing.
Interest income also increased to Rs 1,768 crore from Rs 1,409 crore in the same period a year ago.
The lender’s asset quality improved, with gross non-performing assets (NPAs) falling to 2.27 per cent of gross advances as of March 31, 2023, from 6.03 per cent a year ago.
In value terms, gross NPAs of the bank stood at Rs 1,458 crore, down from Rs 3,431 crore.
Likewise, net NPAs or bad loans declined to 0.74 per cent (Rs 468 crore) from 2.31 per cent (Rs 1,261 crore).
However, the private sector bank parked aside a higher amount of Rs 293 crore as provisions for bad loans and contingencies for March 2023 quarter against Rs 140 crore put aside for the year-ago quarter.
For the full 2022-23, its net profit surged 64 per cent to Rs 1,106 crore against Rs 673 crore in the previous fiscal, the bank said.
The board of the bank recommended dividend of Rs 2 per equity share or 100 per cent on the face value Rs 2 each for financial year ended March 31, 2023.
This is subject to the approval of the shareholders at the ensuing Annual General Meeting (AGM) of the bank, it said.
Capital adequacy ratio of the bank declined to 18.56 per cent against 19.21 per cent at the end of March 2022.