Federal Bank Q2 FY18 standalone net profit rises 17% yoy to Rs 236 crore

Asset quality of the bank improved as GNPA’s as percentage to total advances declined by 39 bps yoy to 2.39% in Q2 FY18 vs 2.78% in previous year corresponding quarter.

Oct 16, 2017 07:10 IST India Infoline Research Team

Federal Bank Ltd Q2FY18

Standalone Results Q2FY18: (Rs. in crore)

Q2FY18 YoY (%)
NII 899 24
NPA (%) 2.4 [39]
Provisions 176.7 5
Net Profit (adjusted) 236 17.3
***NPA change is bps
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117

Last updated on

06-Oct-2017

Federal Bank
Federal Bank reported its Q2FY18 results today. NII for the quarter rose by 24% yoy to Rs.899 crore vs Rs.726 crore in Q2FY17. This was largely led by 15.2% rise in interest income to Rs.2379 crore in Q2FY18 vs Rs.2066 crore in Q2FY17.

Asset quality of the bank improved as GNPA’s as percentage to total advances declined by 39 bps yoy to 2.39% in Q2FY18 vs 2.78% in previous year corresponding quarter. Also, Net NPA for the bank showed improvement by declining 29 bps to 1.32% vs 1.61% in Q2FY17. However, GNPA’s for the quarter rose by 7% yoy to Rs.1948 crore in Q2FY18.

Provisions for the quarter edged up for the quarter by 5% yoy to Rs.176.7 crore in Q1FY18 vs Rs.168 crore in previous year corresponding quarter. This led to 17.3% surge in net profit of the bank to Rs.236 crore in Q2FY18 vs Rs.201 crore in Q2FY17.

Further, advances also saw surge of 25% yoy to Rs.80645 crore in Q2FY18 vs Rs.64686 crore in Q2FY17.While, deposits grew by 13% yoy to Rs.97210 crore.

Bank looks well capitalized at CAR Basel III ratio of 14.63% in Q2FY18 vs 12.85% in Q2FY17.

Technical View:

Federal Bank Ltd is currently trading at Rs. 121.30, up by 4.1 points or 3.5% from its previous closing of Rs. 117.20 on the BSE.
The scrip opened at Rs. 117.35 and has touched a high and low of Rs. 122.45 and Rs. 116.10 respectively. So far 2,62,22,227(NSE+BSE) shares were traded on the counter. The stock is currently trading below its 100 DMA.

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