RBL Bank Q3 results: Net profit rises 11.5% to Rs 233 cr, NII rises 35%

Private lender RBL Bank on Friday said its net profit rose by 11.5 per cent to Rs 233 crore in Q3FY24 (October-December 2023). Its gross non-performing assets (NPA) stood at 3.12 per cent, down from 3.61 per cent in the December quarter. But sequentially, the gross NPA was at the same level at 3.12 per cent in Q3FY24 as compared to 3.12 per cent in Q2FY24. On the other hand, net NPA for the quarter stood at 0.8 per cent in Q3FY24 as compared to 1.18 per cent in Q3F23. 

The lender's net interest income rose 35% to Rs 1,546 crore in Q3FY24 as against Rs 1,148 crore in the corresponding quarter of the previous fiscal.

Earlier, brokerage house Emkay said RBL Bank could report net profit of Rs 301.3 crore.

Its Net Interest Margin (NIM) of the bank stood at 5.52 per cent versus 5.27 per cent in corresponding quarter last year. Sequentially, NIM marginally fell from 5.54 per cent.

The bank's total deposits grew 13 per cent year-on-year (YoY) to Rs 92,746 crore CASA grew five per cent YoY to Rs 31,338 crore. CASA ratio stood at 33.8 per cent compared to 36.6 per cent in the year-ago period.

Shares of RBL Bank closed at Rs 265.70, down by 1.59 per cent, on Friday.  

Advances of the bank grew 20 per cent YoY to Rs 79,949 crore in the quarter. The lender's retail advances book grew by 33 per cent to 46,371 crore from Rs 34,977 crore in October-December FY23 quarter.

Total deposits of the bank stood at Rs 92,746 crore versus Rs 81,746 crore, growing by 13 per cent. Its CASA deposits grew by 5 per cent YoY to Rs 31,338 crore versus Rs 29,948 crore in Q3 FY23.

R Subramaniakumar, MD & CEO, RBL Bank, said: “Our advances and deposits have experienced robust growth with granularity of both sides of Balance Sheet catching pace. As per our plan, the profitability growth has outpaced Balance Sheet growth. Notably, our execution of strategic goals, have contributed to our performance. We remain well capitalised to take advantage of opportunities for growth."

In line with the Reserve Bank of India's (RBI) rule on alternative investment funds (AIF), RBL Bank made a provision of Rs 115 crore. "The bank took a provision of Rs. 115 crore on AIFs as per the recent RBI circular. These investments are primarily in venture debt funds which have been made over years for building inroads into new-age digital businesses," the bank said.