Equitas bank’s H1 profit rises 7.45% to ₹137.10 cr.

0
6


Equitas Small Finance Bank Ltd., a subsidiary of Equitas Holdings Ltd., has posted a 7.45% increase in its net profit for the six months ended March 2020 to ₹137.10 crore.

During the period, total income grew to ₹1,562 crore from the ₹1,260 crore in the year-earlier period. The ratio of gross non-performing assets (NPAs) to advances grew to 3% from 2.53% and net NPAs to advances to 1.66% from the 1.44% in the year-earlier period.

The bank said the lockdown had led to a significant disruption and dislocation of individuals and businesses. This impacted regular banking operations such as lending, fund mobilisation and collections. The bank had made a provision of ₹99.63 crore towards COVID-19 during March 2020 based on an assessment of recoverability of advances after considering the internal and external information and norms prescribed by the RBI.

The bank also granted a moratorium of three months on payment of all instalments and interest falling due between March 1 and May 31, 2020 to all eligible borrowers. The full extent of COVID-19 impact on the bank’s operations and financial metrics, including impact on provisioning on advances, will depend on the government and regulatory guidelines and future developments, it said.

Regarding plans for an IPO, the company said due to COVID-19 and the subsequent nation-wide lockdown, the completion of listing process and the IPO were delayed. The management and the board remain committed to completing the IPO in due course once normalcy in business operations was restored. it added.

You have reached your limit for free articles this month.

Subscription Benefits Include

Today’s Paper

Find mobile-friendly version of articles from the day’s newspaper in one easy-to-read list.

Unlimited Access

Enjoy reading as many articles as you wish without any limitations.

Personalised recommendations

A select list of articles that match your interests and tastes.

Faster pages

Move smoothly between articles as our pages load instantly.

Dashboard

A one-stop-shop for seeing the latest updates, and managing your preferences.

Briefing

We brief you on the latest and most important developments, three times a day.

Not convinced? Know why you should pay for news.

*Our Digital Subscription plans do not currently include the e-paper ,crossword, iPhone, iPad mobile applications and print. Our plans enhance your reading experience.

Image credit to respective owners. We are not owner of Image, It is used here for reference only.

LEAVE A REPLY

Please enter your comment!
Please enter your name here