Federal Bank reported their exceptional financial performance for the quarter ending September 30, 2024, with a record-breaking net profit of Rs. 1056.69 Cr, marking a 10.79 per cent year-over-year (YoY) growth. This marks the second consecutive quarter the bank has surpassed the Rs. 1000 Cr profit milestone.
Federal Bank’s total business reached an impressive Rs. 4,99,418.83 Cr, demonstrating a YoY growth of 17.32 per cent. The bank recorded its highest-ever operating profit of Rs. 1565.36 Cr, reflecting an 18.19 per cent YoY increase. Other key metrics also showed strong growth, with total income rising by 21.91 per cent to Rs. 7541.23 Cr and Net Interest Income increasing by 15.11 per cent to reach Rs. 2367.23 Cr.
Federal Bank‘s balance sheet displayed robust growth, with total deposits climbing by 15.56 per cent to Rs. 2,69,106.59 Cr and net advances growing by 19.45 per cent to Rs. 2,30,312.24 Cr. Key segments witnessed solid performance: retail advances grew by 17.24 per cent, commercial banking by 24.34 per cent, and corporate advances by 10.48 per cent. Asset quality also improved, with Gross NPA reduced to 2.09 per cent and Net NPA to 0.57 per cent.
Earnings per share (EPS) annualized at Rs. 17.11, while Return on Assets (ROA) and Return on Equity (ROE) stood at 1.28 per cent and 13.65 per cent, respectively. The bank’s net worth saw an increase from Rs. 26,032.07 Cr to Rs. 31,108.20 Cr. Capital Adequacy Ratio (CRAR) under Basel III guidelines remained strong at 15.20 per cent.
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With these results, Federal Bank continues its momentum, solidifying its position as a resilient player in the banking sector while achieving sustainable growth across key parameters.
KVS Manian, MD & CEO, Federal Bank said, “Q2 has been robust for the bank driven by strong momentum across diverse operational verticals. This is clearly reflected in our consecutive surpassing of the 1000 Crore net profit milestone of two quarter in a row. Our deposits, now upgraded to AAA by Crisil, signify a sturdy core of the franchise. Business momentum across verticals has been strong and inclusive, and asset quality improvements have been notable. We are committed to sustaining and building on this strong momentum to achieve continued success for the Bank.”
