South Indian Bank (SIB) has reported a net profit of Rs. 111.38 crore for the third quarter of 2016-17, which is 9.59 per cent more than its net growth for the corresponding period in the last fiscal.
The bank’s total business increased by Rs. 14,786 crore, from Rs 94,042 crore to Rs 1,08,829 crore on a year-on-year basis, registering a robust growth of 15.72 per cent.
Announcing the results here on Wednesday, V.G. Mathew, managing director and chief executive of the bank, said the bank’s operating profit recorded a growth of Rs. 113.90 crore (43.3 per cent) on a year-on-year basis, primarily due to significant improvement in income.
He said the bank’s retail focus areas such as SME loan, home loan, loan against property, and agriculture and auto loans continued to show good results, with total advances registering an increase by Rs. 4,633 crore to Rs. 45, 234 crore. Among these, home loan and loan against property portfolios increased by 33.34 per cent.
Meanwhile, the bank’s net NPA (non-performing assets) came down by 25 base points. The watch list, he said, comprised huge loans granted to some large consortiums which ran into trouble, but the list would only shrink going forward.
He said deposits in current and savings bank accounts grew steadily during the period of demonetisation by over Rs. 3,000 crore.
Mr. Mathew said the growth trend of the bank was expected to continue for the remainder of the financial year during which it targeted a loan growth of 15 per cent.
“Going by the Q3 results, we don’t expect a slowdown,” he said.
