DCB Bank Q4 net profit jumps to Rs 113 cr

Private sector lender DCB Bank on Saturday posted a 44.87 percent rise in its net profit at Rs 113 crore for the quarter ended March 2022.

The bank had registered a net profit of Rs 78 crore in the same quarter a year ago.

Total income in the March quarter of the fiscal year 2021-22 increased to Rs 1,035 crore, as against Rs 967 crore in the same quarter of 2020-21, DCB Bank said in a regulatory filing.

Net interest income during the quarter rose to Rs 380 crore, from Rs 311 crore.

Bank's asset quality, however, showed a slight impairment from the year-ago period at 4.32 percent of the gross advances as of March 31, 2022, as against 4.13 percent by March 2021. However, it improved sequentially from 4.78 percent at the end of December 2021.

In value terms, the gross NPAs stood at Rs 1,290 crore in the period under review, as against Rs 1,083 crore.

On the other hand, the net NPAs or bad loans fell 1.97 percent (Rs 573 crore), as against 2.31 percent (Rs 594 crore) in the year-ago period.

However, the net profit for the full year of FY2022 decreased by 14.3 percent to Rs 288 crore, from Rs 336 crore in FY2021.

The board of directors has recommended a dividend of Rs 1 per share at 10 percent for the year ended March 31, 2022, subject to shareholders' approval in the ensuing Annual General Meeting, DCB Bank said.

The main target market of the bank is the MSME/SME segment. In terms of products, the bank is focused on growing home loans, business loans (LAP), gold loans, MSME/SME (CC/OD/Term), KCC (Kisan Credit Card), tractor loans, loans to MFls and MFI-BC Loans, it said.

In FY 2022, the bank also embarked on lending in the TReDS platform and gold loans through co-lending partnership, the bank said.

In the corporate segment, the bank continues to cautiously target short-term loans.

As on March 31, 2022, net advances were at Rs 29,096 crore, a 13 percent growth from a year ago, it said.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)