Federal Bank Shares Skyrocket Following Profitable Quarter Results

Shares of Federal Bank surged to a 52-week high following a reported 9% increase in its net profit for the December quarter, reaching Rs 1,041 crore. A significant boost in non-interest income and improved asset quality contributed to the financial success of the Kerala-based private sector bank.

Federal Bank's stock experienced a remarkable surge of 9.50 per cent, reaching unprecedented 52-week highs on the markets this Friday. This upswing followed the lender's announcement of a 9 per cent increase in net profit for the December quarter.

The share price climbed to Rs 270.35 on the BSE while hitting an intraday peak of Rs 273. On the NSE, the figures were comparable, with shares rising by 9.47 per cent to Rs 270.25 and attaining an intraday high of Rs 278.40.

The Kerala-headquartered bank attributes this robust performance to significant growth in non-interest income, which soared by 20 per cent to Rs 1,100 crore. Additionally, the bank's asset quality showed marked improvement, with the gross non-performing assets ratio decreasing to 1.72 per cent from last year's 1.95 per cent.

(With inputs from agencies.)