Profit & Loss Account: Quarter ended December 31, 2018
The Bank’s total income for the quarter ended December 31, 2018 at ` 30,811.3 crore grew by 26.0% from ` 24,450.4 crore for the quarter ended December 31, 2017. Net revenues (net interest income plus other income) increased by 23.4% to ` 17,497.8 crore for the quarter ended December 31, 2018 from ` 14,183.5 crore in the corresponding quarter of the previous year. Net interest income (interest earned less interest expended) for the quarter ended December 31, 2018 grew by 21.9% to ` 12,576.8 crore, from ` 10,314.3 crore for the quarter ended December 31, 2017, driven by asset growth of 23.7% and a core net interest margin for the quarter of 4.3%.
Other income (non-interest revenue) at ` 4,921.0 crore was 28.1% of the net revenues for the quarter ended December 31, 2018 and grew by 27.2% over ` 3,869.2 crore in the corresponding quarter ended December 31, 2017. The four components of other income for the quarter ended December 31, 2018 were fees & commissions of ` 3,646.8 crore (` 2,872.1 crore in the corresponding quarter of the previous year), foreign exchange & derivatives revenue of ` 397.7 crore (` 426.2 crore for the corresponding quarter of the previous year), gain on revaluation / sale of investments of ` 474.0 crore (` 259.4 crore in the corresponding quarter of the previous year) and miscellaneous income, including recoveries, of ` 402.6 crore (` 311.5 crore for the corresponding quarter of the previous year).
Operating expenses for the quarter ended December 31, 2018 were ` 6,719.3 crore, an increase of 17.2% over ` 5,732.2 crore during the corresponding quarter of the previous year. The core cost-to-income ratio for the quarter was at 39.5% as against 41.2% for the corresponding quarter ended December 31, 2017.
Provisions and contingencies for the quarter ended December 31, 2018 were ` 2,211.5 crore (consisting of specific loan loss provisions ` 1,734.6 crore and general provisions and other provisions ` 476.9 crore) as against ` 1,351.4 crore (consisting of specific loan loss provisions ` 1,356.0 crore and write back of general provisions and other provisions ` 4.5 crore) for the quarter ended December 31, 2017. Provisions for the quarter ended December 31, 2018 include a charge of ` 322.4 crore towards contingent provisions. Profit before tax (PBT) for the quarter ended December 31, 2018 was up 20.7% to ` 8,566.9 crore.
After providing ` 2,981.0 crore for taxation, the Bank earned a net profit of ` 5,585.9 crore, an increase of 20.3% over the quarter ended December 31, 2017. Total balance sheet size as of December 31, 2018 was ` 1,168,556 crore as against `949,079 crore as of December 31, 2017.
Total deposits as of December 31, 2018 were ` 852,502 crore, an increase of 22.0% over December 31, 2017. CASA deposits grew at 13.0% with savings account deposits at ` 235,179 crore and current account deposits at ` 111,905 crore. Time deposits were at ` 505,417 crore, an increase of 29.0% over the previous year, resulting in CASA deposits comprising 40.7% of total deposits as of December 31, 2018. The Bank’s continuing focus on deposits helped in the maintenance of a healthy liquidity coverage ratio at 122%, well above the regulatory requirement.
Total advances as of December 31, 2018 were ` 780,951 crore. Domestic advances grew by 24.1% over December 31, 2017. As per regulatory [Basel 2] segment classification, domestic retail loans grew by 24.0% and domestic wholesale loans grew by 24.1%. The domestic loan mix as per Basel 2 classification between retail:wholesale was 55:45. Overseas advances constituted 3% of total advances.
Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.
