The standalone net profit of Punjab National Bank jumped to Rs 506.03 during the third quarter of FY2020-21 on the back of a reduction in bad assets. The state-run bank had posted a net loss of Rs 492.28 crore in the year-ago period.
Similarly, its total income during the December quarter also rose to Rs 23,298.53 crore as against Rs 15,967.49 crore earlier, the bank said on Friday.
Bank’s Total expenditure during the quarter under review dropped 10.9 per cent to Rs 16,908 crore.
Also, PNB’s net interest income grew by 28 per cent to Rs 8,313 crore.
Provisions for bad loans and contingencies stood at Rs 5,432.60 crore during the quarter. It had posted the same at Rs 4,146.04 crore in the year-ago period.
In absolute value terms, gross NPAs stood at Rs 94,479.33 crore as against Rs 76,809.20 crore.
The net NPA ratio also softened to 4.03 per cent (Rs 26,598.13 crore) from 7.18 per cent (Rs 30,518.92 crore).
On a consolidated basis, bank’s profit jumped to Rs 585.77 crore during the latest quarter as compared to the net loss of Rs 501.93 crore in the same period of 2019-20.
Consolidated income increased to Rs 23,639.41 crore from Rs 16,211.24 crore.
However, PNB said the current results are not comparable with the year-ago period because the December quarter 2019-20 figures are of the pre-amalgamated period.
With effect from April 1, 2020, PNB merged United Bank of India (UBI) and Oriental Bank of Commerce (OBC) with itself.