Profitability was impacted by a 220.47% jump in provisions (excluding tax provisions), which rose to Rs 292.33 crore in the December 2024 quarter, compared to Rs 91.22 crore in the same period last year. The provisioning coverage ratio (PCR) jumped to 74.21% as of 31 December 2024 compared to 71.08% as of 31 December 2023.
However, total income increased 38.13% year on year (YoY) to Rs 7,724.90 crore in the December 2024 quarter.
The bank’s profit before tax (PBT) stood at Rs 1,277.13 crore in the third quarter of FY25, down 5.12% YoY.
Net interest income (NII) increased by 16.27% YoY to Rs 7,091 crore in during the quarter. Net interest margin (NIM) was 3.11% in Q3 FY25, compared to 3.19% in Q3 FY24.
Total deposits increased by 11.18% YoY to Rs 2,66,375 crore as of December 2024, reflecting strong customer trust and engagement.
The total net advances grew by 15.66% YoY to Rs 2,30,370 crore as at 31 December 2024, driven by focused lending strategies.
CASA deposits stood at Rs 80,345 crore as on 31 December 2024, registering a growth of 9% YoY.
Net worth of the bank increased 14.22% YoY to Rs 32,077 crore as on 31 December 2024.
On asset quality front, the bank's gross non-performing assets (NPAs) stood at Rs 4,553.31 crore as on 31 December 2024 as against Rs 4,628.79 crore as on 31 December 2023.
The gross NPA ratio reduced to 1.95% as on 31 December 2024 as compared to 2.29% as on 31 December 2023. The net NPA ratio declined to 0.49% as on 31 December 2024 as against 0.64% as on 31 December 2023.
The bank's total capital adequacy ratio at 31 December 2024, as per Basel III guidelines, was 15.16% as of 31 December 2024 as against 15.02% of 31 December 2023.
Federal Bank operates through four segments: treasury, corporate or wholesale banking, retail banking and other banking operations. The bank has 1,550 banking outlets and 2,054 ATMs and cash recyclers as on 31 December 2024.