{"id":"f-e550251d2f-dac36590-995d-5541-89f1-d0e521a97b69","title":"Federal Bank Q3 Results: Profit, NII beat expectations, asset quality improves; Stock jumps 9%","description":"Federal Bank shares were underperforming at the start of the year, declining for five days in a row before heading into today's trading session. The stock is now back near its record high after the earnings announcement.","timestamp":0,"category":"business","headline":"Federal Bank Q3 Results: Profit, NII beat expectations, asset quality improves; Stock jumps 9%","modifiedHeadline":"Federal Bank Profit Surges on Strong Results","subCategories":["scid_0f705da1"],"region":"IN","bundleMetaData":{"bundleId":"ece1ae3d-908e-48c7-9e53-a4aa910ee4db","bundleTitle":"Grow Your Money","cardData":null},"iabCategoryId":"66","fcSummary":"federal bank's shares surged by 9% following strong quarterly results, with net profit and net interest income rising 9% year-on-year. asset quality improved sequentially, and advances and deposits saw healthy growth, pushing the stock towards its record high.","summary":"Federal Bank's Q3 results beat expectations, boosting profits and NII, with asset quality improving, sending its stock up 9%.","ctaUrl":"https://trends.glance.com/newz/Economy/IN/en/cnbc-tv18/f-e550251d2f-dac36590-995d-5541-89f1-d0e521a97b69","sourceUrl":"https://www.cnbctv18.com/market/federal-bank-q3-results-profit-nii-asset-quality-better-slippages-share-price-record-high-19822215.htm","bannerImage":"https://g-mob.glance-cdn.com/public/fc/image/n41HPsxrg5z0.webp","content":"Shares of Federal Bank Ltd. surged as much as 9% on Friday, January 16, in response to its quarterly results for the October-December period. The stock has snapped a five-day losing streak, after this move. The stock has declined in seven out of the last eight sessions prior to Friday.\n\n
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\n The lender's Net Interest Income (NII) or core income grew by 9% from last year to ₹2,653 crore. The numbers are marginally higher than the ₹2,563 crore estimate from the CNBC-TV18 poll.\n
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\n Net profit for the period increased by 9% from last year to ₹1,041 crore, also marginally higher than the CNBC-TV18 poll of ₹1,000 crore.\n
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\n Federal Bank's asset quality improved on a sequential basis, with Gross Non-Performing Assets (NPAs) improving to 1.72% from 1.83% in September, while Net NPA improved to 0.42% from 0.48% last quarter.\n\n
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\n In absolute terms, Gross NPAs improved to ₹4,447 crore from ₹4,532 crore last quarter, while Net NPAs improved to ₹1,068 crore from ₹1,165.2 crore in September.\n
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\n Provisions for the quarter remained largely unchanged at ₹332 crore from ₹363 crore last quarter and ₹292 crore last year.\n
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\n Slippages at the end of the December quarter improved to ₹443 crore from ₹584 crore during the second quarter last year.\n
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\n Advances for the quarter increased by 11% from last year and 4.5% sequentially to ₹2.55 lakh crore, led by the commercial banking and corporate & institutional banking.\n\n
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\n Deposits for the quarter grew by 11.8% from last year to ₹2.97 lakh crore. The figure was up 3.1% from the September quarter as well.\n
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\n Fee income increased by over 18.5% year-on-year to ₹896.47 crore, while CASA ratio improved to 32.07%, up 106 basis points sequentially and 191 basis points from last year.\n
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\n Shares of Federal Bank are now trading with gains of 8.6% after the earnings announcement at ₹268.1, back towards its recent record high of ₹271.1. The stock is up 36% in the last one month.\n","readDurationInMinutes":"3","author":{"name":"CNBC TV18","logo":"https://glance-mob.glance-cdn.com/public/bubble/jpeg/ecc3d19b-fc52-4a39-881c-5b0936ae723b.jpeg"},"ism":false,"analyticsResponses":[{"measurementId":"383191425","type":"COMSCORE"}],"pointerSummary":["Federal Bank shares surge 9% on strong Q3 results.","Net profit up 9% to ₹1,041 crore, NII up 9% to ₹2,653 crore.","Asset quality improves, NPAs decrease sequentially."],"tags":["FederalBank","Q3Results","FinancialResults","NetInterestIncome","NII","NetProfit","AssetQuality","GrossNPA","NetNPA","NonPerformingAssets","StockMarket","CNBCTV18","IndianBanking","BankingSector","EarningsReport"],"consent":true,"redirectionEnabled":false}

Federal Bank Q3 Results: Profit, NII beat expectations, asset quality improves; Stock jumps 9%

SUMMARY