RBL Bank reported its financial results for the July-September quarter, unveiling a significant 46% increase in its yearly net profits. The net profits jumped from Rs 202 crore in the same quarter last fiscal year to Rs 294 crore in Q2FY24. Alongside this, the bank also experienced a 26% yearly growth in its net interest income (NII), reaching Rs 1,475 crore, and a 24% yearly increase in revenue, which amounted to Rs 2,179 crore.
Compared to the previous quarter, the bank’s net profit rose by 2%, reaching Rs 288 crore during Q1FY24, while revenue increased by 3% to reach Rs 2,108 crore in the quarter ending June 2023. In terms of net interest income, there was a 4% increase, amounting to Rs 1,422 crore during the first quarter of the fiscal year 2024.
Their financial health improved in terms of bad loans, with the percentage of bad loans going down. They are also setting aside more money for potential future losses. The Gross NPA ratio improved by 65 basis points on a yearly basis, decreasing to 3.12% in the current quarter from 3.22% in Q1FY24 and 3.80% in the same period of the previous fiscal year. Also, the percentage of loans that they don’t expect to get back (Net NPA) got better too. In the recent quarter, only 0.78% of their loans fell into this category. This is down from 1.00% in the previous quarter and 1.26% a year ago. It’s a positive sign for the bank’s financial health.
Additionally, the company highlighted that its CASA (Current Account Savings Account) grew by 12% on a yearly basis and 1% compared to the previous quarter, reaching Rs 32,089 crore, with a CASA ratio of 35.7% as of September 30, 2023, compared to 36.2% as of September 30, 2022. Total deposits increased by 13% year-on-year and 5% compared to the previous quarter, reaching Rs 89,780 crore, while retail deposits, according to the LCR definition, rose by 19% on a yearly basis and 4% compared to the previous quarter, reaching Rs 39,706 crore
