RBI imposes penalties on BoI and Federal Bank


Reserve Bank of India (RBI) on Friday said it has imposed a penalty of Rs 5.72 crore on Federal Bank for deficiencies in regulatory compliance.


A  penalty of Rs 70 lakh has also been imposed on Bank of India for non-compliance with certain provisions of Know Your Customer (KYC) norms and instructions on 'compliance function in banks' issued by RBI, it said in a statement.


About Federal Bank, RBI said the bank failed to ensure that no incentive (cash or non-cash) was paid to its staff engaged in insurance broking/corporate agency services by the insurance company, according to a separate statement.



RBI had carried out Statutory Inspection for Supervisory Evaluation (lSE) of the bank with reference to its financial position as on March 31, 2020.


In another statement, RBI said a fine of Rs 7.6 lakh has been imposed on Dhani Loans and Services Limited, Gurugram for non-compliance with KYC norms.


RBI said the penalities are based on the deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the two banks and Dhani Loans and Services with their customers.

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Federal Bank Q3 results: Net profit rises by 29%

 


Private sector lender Federal Bank reported a 29 per cent rise in net profit at Rs 522 crore for the December quarter as against Rs 404 crore in the year-ago period owing to a fall in provisions by nearly half.

Operating profit fell 4.4 per cent at Rs 914 crore against Rs 956 crore.

Net interest margin however improved 7 basis points sequentially to 3.27 per cent while net interest income rose 7 per cent at Rs 1539 crore in the quarter under review against Rs 1437 crore in the year-ago period.

The lender's gross non-performing assets stood at 3.06 per cent at the end of December, compared with 2.71 per cent a year back. Gross NPA was 3.24 per cent at the end of September 2021 quarter. Net NPA was at 1.05 per cent as against 1.12 per cent three months back and 0.6 per cent a year back.

Provision was lower at Rs 214 crore for the December quarter compared with Rs 414 crore in the year ago period. The provision coverage ratio fell to 79.62 per cent against 86.32 per cent a year earlier.The bank's advances grew by 12% year-on-year to Rs 1.41 lakh crore.

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Federal Bank net profit jumped 50% on lower provisions

 


Private sector lender Federal Bank reported a near 50 per cent jump in net profit for the September quarter on lower provisions and improvement in asset quality even as its total income shrunk.


The market gave a thumbs up to the numbers with the shares rising to their 52-week high of Rs 105.6 on BSE. The prices settled at Rs 104.5, which is about 8 per cent higher than the previous close.

The net profit stood at Rs 460 crore compared with Rs 308 crore in the year-ago period. Total income fell about 3 per cent at Rs 3824 crore from Rs 3937 crore.

Operating profit fell by about 9 per cent at Rs 865 crore from Rs 947 crore over the same period. However, a 54 per cent lower provisions at Rs 245 crore helped the net profit surge. Amortisation of the Rs 166 crore of additional liability on account of revision in family pension also helped.

The bank's asset quality improved on a sequential basis with the gross non-performing assets ratio being at 3.24 per cent at the end of September as compared with 3.50 per cent a quarter ago. Its net NPA stood at 1.12 per cent as against 1.23 per cent earlier.


The lender's net interest income, the difference between interest earned and interest expended, rose about 7 per cent at Rs 1,479 crore. Net interest margin for the quarter rose to 3.2 per cent from 3.13 per cent in the year-ago period.

"Our credit cost was negative in this quarter helped by reduced slippages and higher recovery and upgrade," managing director Shyam Srinivasan said.

The lender's gross advances grew 9.7 per cent year-on-year to Rs 1.37 lakh crore while deposits rose at almost the same rate to Rs 1.72 lakh crore.


Its current and savings account ratio to total deposits reached 36 per cent, an all-time high for the bank, Srinivasan said.

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Federal Bank posts 13% decline in Q1 net profit


Private sector lender Federal Bank on Friday posted a 12.87 per cent decline in its consolidated net profit for the June 2021 quarter to Rs 356.76 crore, as provisioning for stressed assets soared due to the reverses of the second wave.


On a standalone basis, its net profit declined to Rs 367.29 crore from the year-ago period's Rs 400.77 crore. The absence of a regulatory dispensation, like a moratorium, and a second consecutive financial blow taken by the stressed segments have led to increased trouble for lenders, the bank management said.The fresh slippages surged to Rs 640 crore as against the usual run-rate of about Rs 400 crore per quarter, which resulted in a corresponding increase in the provisioning that led to the profit decline.


Federal Bank Managing Director and CEO Shyam Srinivasan said the bank has been setting aside 65 per cent on a non-performing asset (NPA) even though it has recourse to lower provisioning under the accounting norms, and added that this resulted in credit provisioning of Rs 460 crore.The overall provisioning came at Rs 641.83 crore as against Rs 394.62 crore in the year-ago period and the last quarter's Rs 242.33 crore.


The bank's asset quality showed deterioration as the gross non-performing assets (NPAs) rose to 3.50 per cent of the gross advances by the end of June 2021, from 2.96 per cent as of June 2020.Net NPAs or bad loans, however, remained stable at 1.23 per cent as against 1.22 per cent a year ago.


He said that given the difficulties faced by the people, it advised borrowers to recast their loans under the windows presented by the RBI. The COVID-19-related restructuring stood at Rs 2,414 crore with a bulk Rs 1,422 crore coming from retail portfolio, Rs 200 crore from gold loans and Rs 339 crore from business banking.


Srinivasan said there is no lumpy slippage in the bank's fresh slippages, and they include Rs 50 crore of gold loans as well. Lending against the previous metal is one of the most secure businesses because of the loan to value mix and the bank is sure of the additional provisions coming back, he said.


"Given the extended lockdown in certain geographies and the challenges clients had, we did not want to, beyond a point, push the customers to make the payment. If they could not, we restructured or it became NPA," Srinivasan said about the gold loans, adding that the NPA on this book is only 0.3 per cent.


The bank expects the overall credit costs, which stand at 1.36 per cent on an annualised basis as of now, to narrow down over the fiscal year to up to 1.10 per cent, Srinivasan said. He expects a reduction in NPAs and money being set aside for them in the remainder of the quarters.The write-offs stood at Rs 430 crore for the quarter as against Rs 380 crore a year ago, but Srinivasan hinted at limited concern on this line going forward by saying that the bank writes-off assets only once a year.


The overall credit growth came at 6.98 per cent during the quarter and it is aiming to "nudge" the double-digit mark for the fiscal. Total deposits grew 9.33 per cent.Its core net interest income grew 9.41 per cent to Rs 1,418 crore on an expansion in the net interest margin to 3.15 per cent. The non-interest income grew 33.13 per cent to Rs 650.15 crore on treasury gains and recovery from a lumpy NPA of the past.


The overall performance has been pleasing given the conditions, said Srinivasan pointing out that the operating profit of Rs 1,135.18 crore (up 21.75 per cent) is the highest ever.The bank said its board of directors also approved allotment of 10,48,46,394 equity shares at an issue price of Rs 87.39 apiece to International Finance Corporation (IFC) and its related entities for Rs 916.25 crore.It has allotted 31,453,918 shares to IFC; and 36,696,238 each to IFC Financial Institutions Growth Fund, LP (FIG) and IFC Emerging Asia Fund, LP (EAF).


With the allotment of these shares, the bank's paid-up equity share capital stands increased from the current level of 199,62,83,783 equity shares to 210,11,30,132 equity shares of Rs 2 each, Federal Bank said.Its overall capital adequacy stood at 14.64 per cent as of June 30, but will rise to 15.3 per cent after the Rs 916 crore infusion done by World Bank Group member IFC on Friday to pick up a 4.99 per cent stake, Srinivasan said.He added that the new shareholder has plans for making the bank's business more sustainable.


The bank started selling credit cards to its existing customers in June but soon faced a setback as Mastercard, its sole franchisee partner, was barred from issuing cards. Work to integrate with other two operators Visa and Rupay is already underway and by the end of September, it will be back to selling cards.With regard to FedFina, its non-bank lending subsidiary, the stress is higher because it recognised three commercial realty accounts as NPAs during the quarter, Srinivasan said.He added that one of them has already been upgraded and the company does not do big-ticket lending any more. FedFina's net grew five per cent to Rs 15 crore.

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Federal Bank Q3 results: Profit declines 8%


Federal Bank on Wednesday posted an 8.2 per cent decline in net profit to Rs 404.10 crore for the third quarter ended December 2020, mainly due to higher provisioning for bad loans.

The private sector lender had registered a profit of Rs 440.64 crore in the year-ago period.

Total income, however, improved to Rs 3,941.36 crore during the third quarter as against Rs 3,738.22 crore a year ago, Federal Bank said in a regulatory filing.

Gross non-performing assets (NPAs) declined to 2.71 per cent of the total advances during the quarter, compared to 2.99 per cent at the end of the third quarter of 2019-20.

Net NPAs of the bank also fell to 0.60 per cent of the total assets in October-December 2020 as against 1.63 per cent a year ago.

Despite the decline in bad loans, provisions other than tax and contingencies increased more than two-fold to Rs 420.62 crore as against Rs 160.86 crore during the same period last fiscal.

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Federal Bank Q2 results: Net profit falls 26%


Federal Bank's profit fell 26% year on year as the bank stepped up provisions to deal with likely rise in slippages due to the economic impact caused by the Covid 19 pandemic.

Net profit dropped to Rs 308 crore in the quarter ended September 2020 from Rs 417 crore a year ago as the bank more than doubled provisions in the period. Total provisions increased to Rs 592 crore from Rs 252 crore a year ago and up 50% compared to the quarter ended June.

CEO Shyam Srinivasan said the bank has made upfront provisions of 10% of its expected loans to be restructured according to Reserve Bank of India (RBI) norms.

"We expect 2.5% to 3% of our loan book to be restructured with RBI specified norms. This quarter we restructured loans worth Rs 26 crore and have got requests for Rs 360 crore worth of loans to be restructured," Srinivasan said.

Slippages were masked by the RBI directed moratorium on loans with a mere Rs 3 crore of loans slipping into NPAs. Srinivasan said if not for the moratorium about Rs 237 crore of loans would have slipped into NPAs. As a result of the moratorium the bank's gross NPA ratio dropped to 2.84% of total loans from 3.07% a year ago.

The bank's total loan book as of September was at Rs 1.22 lakh crore and 2.5% to 3% loans would mean Rs 3500 crore will be restructed out of which Rs 1000 crore will be corporate loans, Srinivasan said.

"The environment we are operating in will have a somewhat elevated impact on slippages," Srinivasan said.

On the business side Federal Bank's net interest income increased 23% to Rs 1380 crore while othe income rose 21% to Rs 509 crore.

Net interest margin or the difference the yield a bank earns on loans and that it pays on deposits improved to 3.13% in September versus 3.01% a year ago.

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Federal Bank Q1 net profit up 4%

Federal Bank's net profit rose 4.3% to Rs.400.77 crore for the quarter ended 30 June 2020 on the back of rise in net interest income and other income.

Net interest income rose 12.3% year-on-year (YoY) to Rs.1296 crore in Q1 June 2020 over Rs.1154 crore in Q1 June 2019. Other income grew 24.7% YoY to Rs.488.37 crore for the quarter ended 30 June against Rs.391.52 crore for the same quarter last year.

Commenting on the results and financial performance, Shyam Srinivasan, Managing Director & CEO, Federal Bank said "We believe we have delivered a very healthy outcome in arguably the toughest operating conditions in well over 100 years. The Bank has been exemplar, braved all challenges and held fort all along and that is encouraging. The net NPA is down to 1.22% which is the lowest for the Bank in last 20 quarters. Cost to income has improved substantially and that augurs well for the Bank. Overall an encouraging quarter, given the challenging environment and truly motivates us to ensure sensible growth with abundant caution."

Provisions and contingencies more than doubled to Rs.394.62 crore in Q1 June 2020 from ₹192.04 crore in Q1 June 2019. Federal Bank said that the aggregate provision against the likely impact of Covid-19, including the RBI mandated provision, as of 30 June 2020 stands at Rs.186.30 crore.

On the asset quality front, the ratio of gross NPAs to gross advances stood at 2.96% as on 30 June 2020 as against 2.84% as on 31 March 2020 and 2.99% as on 30 June 2019. The ratio of net NPAs to net advances stood at 1.22% as on 30 June 2020 as against 1.31% as on 31 March 2020 and 1.49% as on 30 June 2019.
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Federal Bank Q4 results: Net profit drops 21%

Federal Bank's net profit fell 21% due to a sharp rise in provisioning as the bank set aside money to deal with stress from the Covid 19 crisis.

Net profit fell to Rs 301 crore in March 2020 from Rs 382 crore a year ago.

Provisions increased to Rs 568 crore in March 2020 from Rs 178 crore a year ago and higher than Rs 161 crore in the quarter ended December.

Of the total provisions Rs 93 crore were Covid related which were higher than the Rs 30 crore required under RBI regulations.

Gross non-performing assets (NPAs), as a percentage of total advances, were stable at 2.84% in the March quarter compared with 2.92% a year-ago.

"To face any unfavorable situation that may arise due to the pandemic, we have increased the provisions substantially and strengthened the balance sheet. On the business front, the bank has achieved robust growth in the retail segment with housing and gold loans growing handsomely," said Shyam Srinivasan, CEO, Federal Bank.

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Federal Bank Q3 net profit rises 32%


Federal Bank Ltd on Monday said its third quarter net profit rose 32% on the back of higher other income and lower provision.

The bank posted a net profit ₹440.64 crore for the three months ended 31 December compared to ₹333.63 crore in the year-ago period. Profit was higher than ₹412.7 crore estimated by a Bloomberg poll of 15 analysts.

Net interest income, or the difference between interest earned on loans and that paid on deposits, increased 7.21% to ₹1,154.93 crore from ₹1,077.29 crore in the corresponding period last year.

Other income, which includes core fee income, rose 18.03% to ₹407.86 crore in the three months from ₹345.55 crore a year ago.

Gross non-performing assets (NPAs), as a percentage of total advances, were at 2.99% in the December quarter compared with 3.07% in the September quarter and 3.14% in the year-ago December quarter.

Provisions during the quarter decreased 15.39% to ₹160.86 crore as against ₹190.12 crore in the year-ago quarter. In the July-September quarter, the bank had set aside ₹251.77 crore in provisions.

Post-provision, the net NPA ratio was at 1.63% against 1.59% in the July-September quarter and 1.72% in the year-ago quarter.

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Federal bank Q2 Profit up 57%


Private sector lender Federal Bank has reported a healthy 56.7 percent year-on-year growth in Q2FY20 profit, driven by other income and lower tax cost, but provisions remained elevated.

Profit rose to Rs 416.7 crore against Rs 266 crore in same period last year.

Net interest income grew by 9.9 percent YoY to Rs 1,123.8 crore, with loan growth at 14.8 percent.

Asset quality weakened during the quarter under review with gross non-performing assets (NPA), as a percentage of gross advances, rising 8 bps to 3.07 percent and net NPA increasing 10 bps to 1.59 percent quarter-on-quarter.

Fresh slippages at the end of Q2 increased to Rs 540 crore against Rs 415 crore at the end of Q1.

Provisions increased sharply to Rs 251.8 crore versus Rs 192 crore in Q1 FY20 but fell from Rs 288.8 crore in Q2 FY19.
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Federal Bank Q1 Net profit rises 46%


Private sector lender Federal Bank on Tuesday reported a net profit of ₹384 crore in the June quarter of FY20, 46% higher than the same period last year, owing to higher other income and net interest income.

While its other income grew 45% year-on-year (y-o-y) to ₹392 crore, its net interest income – the difference between interest earned and expended – grew 18% y-o-y to₹1,154 crore in Q1 FY20.

The bank also set aside ₹192 crore as provisions in the June quarter of FY20, down 3.5% y-o-y. Federal Bank’s asset quality slightly improved as its gross bad loans as a percentage of gross advances stood at 2.99%, down one basis point from the same period last year.

Shyam Srinivasan, managing director and chief executive, Federal Bank said that while the bank has been watchful of credit growth in certain stressed sectors, retail continues to go do well.

“These stressed sectors include the long-gestation and capital intensive infrastructure projects and therefore we have to be mindful of them," said Srinivasan.

Federal Bank’s total deposits increased by 19.14% y-o-y to reach ₹1.32 lakh crore, its net advances grew by 18.81% y-o-y to ₹1.12 crore as on 30 June, 2019. Its current account and saving account (CASA) deposits stood at₹41,675.84 crore and CASA as a percentage of total deposits stood at 31.44%.

The bank’s total exposure to the non-bank and housing finance companies (HFCs)constitute 14.4% of its total loans.

“We are open to looking at good securitized assets. However, we are not looking at lumpy transactions, maybe ₹100-150 crore. We have not come across assets to the tune of say₹2,000 crore that is of high quality and is available. In the June quarter we had one such transaction of about ₹150 crore," said Srinivasan.

Srinivasan said that the bank’s NBFC approach over the last many quarters has been more quality-led. “If a borrower comes to us with request for new lines of credit and we are not comfortable with that then we decline," he said.

While Srinivasan said that Federal Bank has an exposure to stressed mortgage lender Dewan Housing Finance Corporation Ltd (DHFL), he declined to spell out how much it is. The account is standard at the moment, he added.
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Federal Bank Q4 profit up 2-fold


Federal Bank Saturday reported an over two-fold jump in net profit for the March quarter at Rs 381.51 crore on account of lower provisioning and higher interest income. 

The private sector lender had posted a standalone net profit of Rs 144.99 crore in the fourth quarter of 2017-18 fiscal. 

Total income of the bank rose to Rs 3,444 crore in the March quarter of 2018-19, from Rs 2,862 crore in the same period last fiscal, Federal Bank said in a BSE filing. 

Provisioning for bad loans during the quarter more than halved to Rs 177.76 crore, as against Rs 371.53 crore in the corresponding period of 2017-18. 

Interest income increased to Rs 2,413 crore during the fourth quarter from Rs 1,951 crore earlier. 

For the full 2018-19 fiscal, Federal Bank reported a standalone net profit of Rs 1,243.89 crore, up 41.5 per cent from Rs 878.85 crore in 2017-18. 
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Federal Bank Q3 net profit rises 28% YoY


Kerala based Federal Bank reported a rise of 28 percent (year-on-year) in its net profit for the December quarter at Rs 333.63 crore from Rs 260 crore last year.

The Kochi-based lender also posted a growth of 13 percent (YoY) in its net interest income to Rs 1,077.3 crore against Rs 950 crore posted last year. For the uninitiated, the difference between interest earned and spent is known as net interest income.

Other income reported by the bank stood at Rs 345.5 crore against Rs 228.6 crore last year.

Asset quality

The gross NPA ratio rose margially to 3.14 percent from the previous quarter’s ratio of 3.11 percent. Meanwhile, the net NPA ratio stood at 1.72 percent. It improved from 1.78 percent in the previous quarter.

The gross NPAs stood at Rs 3,361 crore against Rs 3,185 crore posted during the last quarter. While, net NPAs rose to Rs 1,817 crore against Rs 1,796 crore last quarter.

The provisions reported a drop from the previous quarter to Rs 190.1 crore against Rs 289 crore. On a year on year basis, it reported a jump from Rs 162.4 crore.

Other key metrics
The lender reported slippages at Rs 435 crore against RS 477 crore last quarter. The SME slippages stood at Rs 192 crore against Rs 169 crore posted last quarter.

The net interest margin stood at 3.17 percent against 3.15 percent in September quarter.
The loan growth stood at 25 percent year on year, while its restructured book stood at Rs 1,150 crore.

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Federal Bank Q2 profit rises 0.9% hit by higher provisions; asset quality weakens

Federal Bank's second quarter (July-September) profit grew 0.9 percent year-on-year to Rs 266 crore, impacted by sharp rise in bad loans provision. However, other income, operating income and NII helped the bottomline.

Net interest income during the quarter increased 13.7 percent year-on-year to Rs 1,022.5 crore with loan growth at 25.2 percent YoY (9.8 percent QoQ), the bank said.
Net interest margin improved to 3.15 percent for the quarter ended September 2018 against 3.12 percent in previous quarter.
Bank's asset quality weakened further in the quarter gone by. Gross non-performing asset (NPA) as a percentage of gross advances increased to 3.11 percent against 3.00 percent in previous quarter and net NPA was higher at 1.78 percent against 1.72 percent in June quarter.
Federal Bank said provisions and contingencies increased sharply by 45 percent sequentially (63.4 percent year-on-year) to Rs 288.8 crore.

Fresh slippages for the quarter were higher at Rs 477 crore against Rs 461 crore in previous quarter, the bank said, adding the restructured standard assets were at Rs 577 crore in September quarter against Rs 581 crore in June quarter.
Other income (non-interest income) during the quarter grew by 12.4 percent year-on-year to Rs 322.9 crore and operating profit jumped 20 percent to Rs 698 crore.
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RBI imposes penalty on Federal Bank


Kerala-based Federal Bank was fined Rs 5 crore by the Reserve Bank of India (RBI) for not following procedures on reporting of data on large corporate loans, assessment of risk-based supervision (RBS) by RBI, know-your-customer norms and delay in compensation to customer complaints.

On September 25, RBI said it imposed a a monetary penalty of Rs 50 million (Rs 5 crore) on Federal Bank Ltd for for violation of Section 19(2) of Banking Regulation Act.


The penalty was for "non-compliance with the directions issued by RBI on (a) reporting of data on Central Repository of Information on Large Credits (CRILC), (b) reporting to RBI for assessment under RBS, (c) payment of compensation for delay in resolution of ATM-related customer complaints, and (d) Know Your Customer / Anti-money Laundering (KYC/AML) norms," RBI said in a statement on its website.

The central bank has been very active in penalising banks for non-compliance of several RBI rules with the major ones including violation of under-reporting or divergence in classification of non-performing assets (NPAs) and KYC norms.


This penalty has been imposed in exercise of powers vested in RBI under the provisions...of the Act, taking into account the failure of the bank to adhere to the aforesaid provision of the Act and the directions issued by RBI.

This action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers, RBI added.

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Federal Bank Recruitment for Officers (Scale I) & Clerks Posts 2018


Federal Bank has published Advertisement for below mentioned Posts 2018. Other details like age limit, educational qualification, selection process, application fee and how to apply are given below.

Posts:
  • Officers (Scale I)
  • Office Assistants

Educational Qualification:

  • Officers :
    • Post-Graduates with minimum 60% marks in any discipline from a recognized University or any other Institutions established by an Act of Parliament or declared to be deemed as a University under Section 3 of UGC Act, 1956.
    • Candidates should have completed their Post-Graduation during the academic years 2016-17 or 2017-18 (passing out year of their post-graduation should be 2017 or 2018).
    • Candidates should have completed their academics (from 10th onwards) in regular mode of study.
    • Candidates should have a consistent academic record of minimum 60% marks from class 10th onwards (for 10th, 12th, Graduation and Post-Graduation).

  • Clerks
    • Graduates or Post-Graduates with minimum 60% marks in any discipline from a recognized University or any other Institutions established by an Act of Parliament or declared to be deemed as a University under Section 3 of UGC Act, 1956.
    • Candidates with the highest qualification as Graduation should have completed their Graduation during the academic years 2016-17 or 2017-18 (passing out year should be 2017 or 2018).
    • Candidates with the highest qualification as Post-Graduation should have completed their Post-Graduation during the academic years 2016-17 or 2017-18 (passing out year should be 2017 or 2018).
    • Candidates should have completed their academics (from 10th onwards) in the regular mode of study.
    • Candidates should have a consistent academic record of minimum 60% marks from class 10th onwards (Graduates- 60% for 10th, 12th & Graduation) & (Post Graduates - 60 % for 10th, 12th, Graduation & Post–Graduation).

Age Limit: (As on 01.07.2018)

  • Officers – Candidates shall not exceed 26 years as on 01.07.2018 (candidates should be born on or after 01.07.1992) for being eligible to apply for the post of Officers.
  • Clerks – Candidates shall not exceed 24 years as on 01.07.2018 (candidates should be born on or after 01.07.1994) for being eligible to apply for the post of Clerks.

Application Fee :

  • Officers :
    • SC / ST : Rs. 350/-
    • General / Others: Rs. 700/-
  • Clerks :
    • SC / ST : Rs. 250/-
    • General / Others: Rs. 500/- 

Important Note :

Candidates are eligible to apply only if they have completed their Graduation or Post-Graduation in the stipulated academic years. In the case of candidates whose final results of the qualifying examination is yet to be published by the University / Institution by 27.08.2018, they are eligible to apply only if, they:

Have cleared all the papers of previous year/semesters of qualifying examination and secured minimum marks of 60% as on 27.08.2018 and all papers pertaining to the subsequent semester(s)/ years should be cleared invariably in the first chance itself with an aggregate of 60% marks in the qualifying examination.

Submit their final certificates/results at the time of joining or as demanded by the Bank

Important Dates:

Opening Date of Online Registration Gateway/Remittance of Application fee : 14th August 2018
Closing Date of Online Registration Gateway/Remittance of Application fee : 27th August 2018
Proposed Date of Online Aptitude Test for Officers and Clerks : 9th September 2018


How to Apply: Interested Candidates may Apply Online Through official Website.

Apply Online: Click Here

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Federal Bank posts 25% rise in net profit on lower provisioning

Federal Bank on Tuesday reported a 25% increase in its June quarter net profit due to lower provisioning and higher net interest income. Net profit for the quarter stood at Rs 262.71 crore against Rs 210.15 crore a year ago. According to 13 Bloomberg analysts’ estimates, the bank was expected to post a profit of Rs 211.70 crore.
Net interest income (NII), or the core income a bank earns by providing loans, was up 22.4% to Rs 980.06 crore from Rs 800.67 crore last year. Other income was at Rs 270.86 crore, down 17.7% from Rs 329.10 crore a year ago.

Provisions and contingencies fell 15.77% to Rs 199.15 crore in the quarter from Rs 236.44 crore a year ago. On a quarter-on-quarter basis, these declined 46.4% from Rs 371.53 crore.
Gross non-performing assets (NPAs) rose 53.58% to Rs 2,868.82 crore at the end of the June quarter from Rs 1,867.94 crore in the same quarter last year.
As a percentage of total loans, gross NPAs stood at 3% as compared to 3% in the previous quarter and 2.42% in the year-ago quarter. Net NPAs were at 1.72% in the June quarter compared to 1.69% in the previous quarter and 1.39% in the same quarter last year.

Federal Bank said it incurred mark-to-market losses of Rs 58.94 crore as of June 2018 and according to the Reserve Bank of India’s norm, it has exercised the option of spreading the provisions equally over four quarters. Accordingly, in the June quarter Rs 14.74 crore has been charged towards MTM losses and the balance of Rs 44.21 crore has been carried forward and will be amortised in remaining quarters, the bank said.
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Federal Bank Q4 profit down 44%


Federal Bank missed analyst expectations to report a 43.5 percent year-on-year (YoY) drop in net profit at Rs 145 crore for the March quarter because of an increase in provisions and worsening asset quality.

Net profit in the same quarter last year had shot up 2,400 percent to Rs 256.6 crore due to substantially lower provisions and reduction in non-performing assets (NPAs).


Slippages were to the tune of Rs 872 crore for the fourth quarter, of which Rs 492 crore was from one account, said the bank.Provisions grew by almost 203 percent to Rs 371.53 crore in the March quarter, on a year-on-year basis.

Net interest income (interest earned minus interest expended) grew 11 percent to Rs 933.22 crore from Rs 842 crore in the same quarter last year. A Reuters analyst poll had estimated net profit growth of 14 percent to Rs 293.7 crore and NII at Rs 1,008.7 crore for the quarter.

The bank also made provisions for the increase in the gratuity ceiling for employees after a government notification enhanced it to Rs 20 lakh from Rs 10 lakh.


In its earnings statement, the bank said it has made gratuity provisions taken to the tune of Rs 18 crore in Q4 and that a similar amount will be spread over each of the next three quarters with a total of Rs 72 crore.

Asset quality
During the quarter, the gross non-performing assets (NPAs) worsened to 3 percent of total loans from 2.52 percent in the December quarter and 2.33 percent a year back. Net NPA rose to 1.69 percent in the March quarter compared to 1.28 percent a year ago and 1.36 percent in the December quarter.

The Board of Directors has recommended a dividend of 50 percent at Rs 1 per equity share for  FY18, subject to the approval at its Annual General Meeting.

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Federal Bank Q3 net rises 26%

Federal Bank has posted a 26.43 per cent growth in net profit in the third quarter at Rs260.01 crore compared to the corresponding period of the previous fiscal. The operating profit increased by 18 per cent to reach Rs 561.40 crore as on December 31.
The total business grew 14.60 per cent from Rs 1,61,864.87 crore to Rs.1,85,490.17 crore. While total deposits reached Rs 1,00,537.10 crore from Rs92,235.65 crore, net advances grew 22.01 per cent to reach Rs 84,953.08 crore.
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Federal Bank Q2 net profit rises 31%

Federal Bank Ltd on Monday reported a 31% jump in its September quarter net profit due to improved asset quality and higher net interest income.
The bank reported a profit of Rs263.70 crore compared to Rs201.24 crore a year ago. The consensus of analyst estimates had pegged the profit at Rs254.40 crore.
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   * Balance Inquiry Number of all Banks
   * PSU & Private Banks Quarterly result
   * Pradhan Mantri Awas Yojana (PMAY)

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