Federal Bank net profit up 28.35 per cent

New Delhi, Oct 26: Federal Bank of India (FBI), the Kerala-based new generation private sector bank, has registered a net profit of 28.35 per cent in the second quarter (Q2) of 2006-07, with a figure of Rs 69.46 crore, after making a non-mandatory provisions of Rs 60.36 crore.

''Gross profit recorded a growth rate of 36.60 per cent at Rs 139.02 crore,'' FBI Chairman and CEO M Venugopal told a news conference here.

Profit after making provision for taxes was at Rs 129.82 crore.

The additional non mandatory provisions are: provision under Accounting Standard (AS) 15 (though IBA has sought a review of this Accounting Standard) Rs 15.30 crore, recently announced VRS (though this could have been over five years as per the Income Tax Act) is Rs 20.96 crore and contingency requirements of Rs 24.10 crore.

The results were finalised at a recent meeting of the Board of Directors in Ernakulum.

The highlights of others details relating to financial performance of Q2 2006-07 over Q2 of 2005-06 are as follows; --- total income increased by 28.81 per cent to Rs 506.32 crore (from Rs 393.07 crore); -- total interest income increased by 28.90 per cent to Rs 433.71 crore;(from Rs 336.46 crore); --- net interest income was up by 25 per cent to Rs 167.47 crore; (from Rs 133.97 crore); --- Non-interest income increased by 28.26 per cent to Rs 72.61 crore (from Rs 56.61 crore); Some details of financial performance of H1 2006-07 over H1 2005-06 are as follows: --- total business increased by 21.71 per cent to Rs 31,002.6 crore (from Rs 25,473.49 crore); ---- total deposits grew by 14.5 per cent to Rs 18.288.34 crore(from Rs 16,035.64 crore); --- total advances went up by 34.72 per cent to Rs 12,714 crore (from Rs 9,437.85 crore); --- total income increased by 23.80 per cent to Rs 968.84 crore (from Rs 782.57 crore); --- net interest income increased by 17.24 per cent to Rs 326.08 crore(from Rs 278.14 crore); --- operating profit for the half year increased by 28.37 per cent to Rs 252.74 crore (from Rs 196.88 crore); --- net profit for the period at Rs 109.64 crore (from Rs 102.84 crore); ---- net NPA down at 0.67 per cent (from 1.6 per cent in H1 2005-06); --- CRAR improved to 12.8 per cent (from 11.37 per cent in H1 2005-06); Mr Venugopal said the Bank has permission to open another 28 branches of which 7 are in Kerala and 21 are outside the Kerala State.

UNI