State-run Indian Overseas Bank Ltd. (IOB) reported results for the June quarter on Friday, July 18. In response, the stock recovered from the day’s low to gain as much as 2%.The lender’s net profit increased by 76% from the same quarter last year to ₹1,111 crore. IOB had reported a net profit of ₹633 crore during the June 2024 quarter.
IOB’s profitability was aided by a higher other income component, which increased to ₹1,480 crore from ₹1,032 crore during the year-ago quarter.
Net Interest Income, or core income earned by the bank grew by 13% on a year-on-year basis to ₹2,747 crore from ₹2,441 crore last year.Indian Overseas Bank’s asset quality improved on a sequential basis. Gross NPA stood at 1.97% from 2.14% in the March quarter, while Net NPA improved to 0.32% from 0.37% in the previous quarter.
IOB’s profitability was aided by a higher other income component, which increased to ₹1,480 crore from ₹1,032 crore during the year-ago quarter.
Net Interest Income, or core income earned by the bank grew by 13% on a year-on-year basis to ₹2,747 crore from ₹2,441 crore last year.Indian Overseas Bank’s asset quality improved on a sequential basis. Gross NPA stood at 1.97% from 2.14% in the March quarter, while Net NPA improved to 0.32% from 0.37% in the previous quarter.
Provisions also declined to ₹844 crore at the end of June, from ₹1,063 crore in March. Lower provisions also contributed to the bump-up in the bank’s profitability.
Shares of Indian Overseas Bank are trading 0.8% higher after the results announcement at ₹40.17. The stock has risen close to 7% in the last one month.
