Private sector lender RBL Bank Ltd reported a growth of 54.6 per cent in it’s standalone net profit after taxes (PAT) at Rs 130.13 crore for the March quarter of FY 2017, helped by healthy growth in interest income even as provisions for bad loans rose.
The bank had posted a net profit of Rs 84.18 crore during the same period a year ago, RBL Bank Ltd said in a filing to the BSE.
Further, total income of the bank, too, grew by 35.2 per cent at Rs 1,222.87 crore during Q4 FY17, against Rs 904.66 crore in Q4 FY16.
In the quarter, provisions (other than tax) and contingencies jumped sharply to Rs 82.10 crore as against Rs 36.17 crore in previous quarter and from Rs 37.88 crore in corresponding period last year.
During the quarter under review, gross non-performing assets (Gross NPA) of the bank rose to 1.20 per cent of total loans, compared with 0.98 per cent in the year-ago quarter. It’s net NPA too grew to 0.64 per cent from 0.59 per cent during the same period of previous fiscal.
NII, the difference between interest earned on loans and interest paid on deposits, rose 46.6 per cent at Rs 352.16 crore versus Rs 240.18 crore during Q4 FY 16. Non-interest income also jumped 65.8 per cent to Rs 236.55 crore against Rs 142.71 crore during the same period last year.
The Board of Directors of the bank has recommended payment of final dividend at the rate of 18 per cent i.e. Rs 1.80 per equity share to be payable after approval of the shareholders at the ensuing AGM.
After hitting a 52-week high, shares of the bank were trading at Rs 592.20 apiece, up 1.14 per cent, from previous close on BSE at 12:33 hours.
Tag: RBL Bank
Reuters said that as of 11:00 AM, the IPO, the first by an Indian bank since 2010, had received bids for 39.1 million shares, or 1.03 times the 37.9 million shares on offer. The sale closes on Tuesday.
RBL is selling new shares in a price band of Rs 224 to Rs 225 per share to raise up to Rs 8.33 billion to boost its capital base. Some of its shareholders are also paring their stakes by selling up to 16.9 million shares in the IPO to raise up to Rs 3.8 billion.
Cornerstone investors last week bought Rs 3.64 billion worth of shares as part of the IPO.
RBL Bank has received SEBI’s approval for its long-pending IPO for which it had filed draft papers nearly a year ago, said the media report.
The bank, which had filed draft papers with SEBI in June last year, seeking approval to float IPO, received clearance from the regulator on July 27, according to the latest update.
The Securities and Exchange Board of India (SEBI) withheld approval to RBL’s IPO as the regulator was examining past violation by the private sector lender, reported PTI.
RBL’s IPO plans was hanging in balance for a long time due to the outstanding cases.
The approval comes after SEBI settled an outstanding case against the lender for alleged violation of disclosure norms with regard to an earlier issuance of shares to select investors for over Rs 600 crore.
The settlement involved payment of Rs 47.6 lakh towards ‘monetary settlement charges’, as also a commitment by the bank that it would give an exit opportunity in its IPO to the investors to whom shares were issued earlier in rights issues, said the PTI report.
As per the draft papers, the IPO comprises fresh issue of equity shares worth Rs 1,100 crore and offer for sale of up to 17,568,408 scrips by existing shareholders including Beacon India Private Equity Fund and GPE (India) Ltd.
RBL Bank had reportedly raised Rs 488 crore in a pre-IPO round of fund raising last year.
The proceeds of the IPO would be used to shore-up the equity capital base, to meet future capital requirements and to ensure compliance with Basel III and other Reserve Bank’s guidelines.
According to RBL Bank (formerly Ratnakar Bank Ltd), the listing of equity shares will enhance the visibility and brand name among existing and potential customers.
Kotak Mahindra Capital Company, Axis Capital, Citigroup Global Markets India and Morgan Stanley India Company are the global coordinators, while HDFC Bank, ICICI Securities, IDFC Securities, IIFL Holdings and SBI Capital Markets are the book running lead managers of the issue.