For the entire financial year 2024-25, the bank recorded a 26 percent increase in its profit.
Public sector Indian Overseas Bank rose 30 percent to Rs 1,051 crore in the quarter ended March 31. The bank gave this information on Friday. The Chennai -based bank had earned a net profit of Rs 808 crore a year ago in the same period. According to PTI news, the bank’s MD and CEO Ajay Kumar Srivastava said that the bank is expected to grow 13-14 percent in all areas during the current financial year. The total income of the bank increased to Rs 9,215 crore during the quarter. It was Rs 9,106 crore a year ago. During this period, interest income increased to Rs 7,634 crore, while it was Rs 6,629 crore in the same quarter a year ago.
IOB will raise Rs 4,000 crore
According to the news, Srivastava said that the bank will raise Rs 4,000 crore during the current financial year, after which the Indian government’s stake will decrease from the current 94.61 percent to 90 percent. Under the approval of shareholders, the board has planned to raise up to Rs 4,000 crore through follow-on public offers, rights issue, qualified institutional placements or any other methods or combinations during FY 2025-26.
NPA improved a lot
On the asset quality front, the bank’s gross non-performing assets (NPAs) declined to 2.14 percent by the end of the gross advances by the end of March 2024. Similarly, pure NPAs also came to more than 0.57 percent at the end of 2024, 0.37 percent of advances (advance). As a result, the total provision during the quarter decreased to Rs 200 crore, compared to Rs 409 crore in the same quarter a year ago. The bank’s capital adequacy ratio increased from 17.28 percent to 19.74 percent at the end of FY 2024.
Bank registered a 26% increase in its profit
For the entire financial year 2024-25, the bank recorded a 26 percent increase in its profit, which was Rs 3,335 crore against the previous year’s Rs 2,656 crore. The total income of the bank rose to Rs 33,676 crore during the financial year, compared to Rs 29,706 crore a year ago. Srivastava said that 13-14 percent increase will take place in all areas including retail, agriculture and micro, small and medium enterprises (MSME). A particular area is not being focused. Currently, the RAM sector (retail, agriculture and MSME) is about 77 percent.
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