Although it clocked a 17.4 per cent increase in its operating profit during the third quarter of this fiscal, Allahabad Bank registered a modest 4.6 per cent increase in net profit which touched Rs.325.4 crore for the October-December quarter of 2013-14 compared to Rs.310.8 crore a year ago.
The bank reported a 59.2 per cent increase in its other income which rose to Rs.542 crore, boosted mainly by sale of some of its non-performing assets to asset reconstruction companies. Total income increased to Rs.5,306.7 crore from Rs.4,785.3 crore.
As of December 31, 2013, the bank’s portfolio of net NPAs stood at Rs.5,650 crore against Rs.2,477.5 crore in the third quarter of 2012-13, with the net NPA ratio at 4.2 per cent against 2.1 per cent a year ago.
Net interest margin of the bank stood at 2.75 per cent at the end of December 2013.
The bank said in a statement that its future plans included hitting a business target of Rs.3,40,000 crore by March 31, 2014, from Rs.3,24,778 crore on December 31, 2013.
