PNB nets profit in Q1

Bhopal, Aug 12 (UNI) Punjab National Bank has posted an increase of 2.61 per cent in net profit at Rs 367.52 crore for the quarter ended June 30, as compared to Rs 358.16 crore for the same quarter in 2005-06.

Talking to reporters after the bank's board meeting, PNB Chairman and Managing Director S C Gupta said the net profit increased despite 23.9 per cent decline in operating profit from Rs 644.51 crore during previous year to Rs 490.56 crore.

The loss in operating profit was due to loss on transfer of securities from AFS (Available For Sale) and HTM (Held to Maturity) categories amounting Rs 386.76 crore.

Excluding this loss, the banks would have posted a higher operating profit at Rs 877.32 crore registering 36.1 per cent growth.

Meanwhile, the total business grew by 23.40 per cent to Rs 1,94,719 crore for the first quarter ended June 30, from Rs 1,57,738 crore for the corresponding quarter a year ago.

The bank's net NPAs as per cent to net advances increased from 0.09 per cent to 0.35 per cent in June 2006.

Mr Gupta said the bank's 163 branches in the Madhya Pradesh zone was churning out an aggregate business to the tune of Rs 5,200 crore, while the aggregate business through the bank's 47 branches was around Rs 1,550 crore.

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