The Board of Directors of RBL Bank Limited at its meeting held today, approved the standalone unaudited financial results for the quarter and half year ended September 30, 2018.
Key financial highlights:
- Q2 FY19 Net Profit up by 36% to Rs. 204.54 crore
- Advances (Net) at Rs. 45,872.66 and Deposits at Rs. 47,790.09 up by 37% and 31% respectively on Year on Year (YoY) basis
- Net Interest Income (NII) up by 41% to Rs. 592.97 crore
- Other Income up by 38% to Rs. 333.11 crore
- Core fee income up by 60% to Rs. 325.24 crore
- NIM improves to 4.08% up from 3.74% in Q2 FY18. Cost to income ratio is at 51.51%
- Gross NPA ratio at 1.40% (1.44% in Q2 FY18); Net NPA ratio at 0.74% (0.78% in Q2 FY18); Provision coverage ratio increases to 61.45%
- Return on Assets at 1.26 % up from 1.19% in Q2 FY18
Asset growth and quality
The Bank's growth in advances portfolio continued to be robust at 37% on a year-on-year basis. The net advances as at September 30, 2018 were Rs. 45,872.66 crore as against Rs. 33,576.01 on September 30, 2017, with all-round growth observed in all business segments. The growth in the Corporate & Institutional segment and Commercial Banking (together termed as "Wholesale portfolio") was pegged at 33%, while that of other segments (Retail Assets and Development Banking & Financial Inclusion - together termed as ("Non-wholesale portfolio") was 43%. The non-wholesale portfolio constituted about 41% of the loan portfolio of the Bank as at September 30, 2018.
The gross NPA ratio has decreased to 1.40% as at September 30, 2018 from 1.44% as at September 30, 2017. The restructured standard assets portfolio has decreased to 0.07% as at September 30, 2018 from 0.41% as at September 30, 2017. The net NPA ratio has decreased to 0.74% as at September 30, 2018 from 0.78% as at September 30, 2017. The Bank's provisioning coverage ratio (including technical write-offs), increased to 61.45% as at September 30, 2018 as compared to 58.27% as at September 30, 2017.
The Bank's deposits growth on year on year basis was driven by strong growth in CASA deposits. Deposits grew to Rs. 47,790.09 crore as at September 30, 2018 as against Rs. 36,569.05 crore as at September 30, 2017. CASA ratio increased to 24.51% as at September 30, 2018 compared to 23.67% as at September 30, 2017.
The Bank's capital adequacy ratio as at September 30, 2018 was 13.12% and Tier-1 capital adequacy ratio was 11.84%, significantly higher than the regulatory requirements.
Commenting on the performance, Mr. Vishwavir Ahuja, MD & CEO, RBL Bank said "We continue to consistently maintain our growth momentum and importantly have delivered higher margins and strong profitability with robust asset quality despite challenges in the operating environment. We continue to track well to our Vision 2020 goals."
Shares of RBL Bank Ltd was last trading in BSE at Rs.469.6 as compared to the previous close of Rs. 505. The total number of shares traded during the day was 567947 in over 12359 trades.
The stock hit an intraday high of Rs. 524 and intraday low of 460.3. The net turnover during the day was Rs. 268660837.