The bank added 10 new business correspondents banking outlets
The bank added 10 new business correspondents banking outlets

AU Small Finance Bank reports 148 pc jump in Q1 net profit

ANI | Updated: Jul 26, 2019 11:43 IST

Jaipur (Rajasthan) [India], July 26 (ANI): AU Small Finance Bank has announced that its net profit for the first quarter of 2019-20 rose by 148 per cent and stood at Rs 190 crore as against Rs 77 crore in the same period of previous fiscal.
The company's net interest income rose 38 per cent higher at Rs 396 crore as compared to Rs 287 crore.
Net interest income is the difference between revenues generated by interest-bearing assets and the cost of servicing liabilities. For banks, such assets include commercial and personal loans, mortgages, construction loans, and investment securities.
The advances for the company grew by 44 per cent and stood at Rs 25,610 crore in the first quarter of FY20 against Rs 17,747 crore in the first quarter of the previous fiscal year.
The deposits also recorded an advancing with a 99 per cent margin. Deposits during the Q1FY2020 stood at Rs 19,849 crore against Rs 9,999 crore in Q1 FY19.
The gross non-performing assets (NPAs) declined from 2.2 per cent to 2.1 per cent in Q1 FY20 while net NPAs contracted from 1.4 per cent to 1.3 per cent, the bank said in a statement.
"Albeit weak market sentiments and a challenging macro environment, growth and asset quality continued to be on track last quarter," said Managing Director and Chief Executive Officer Sanjay Agarwal.
"They were augmented by our diversified secured retail asset franchise as well as our prudent liquidity and risk management. Reorienting the liability vertical into multiple focused subgroups, cost-efficient design change in branch delivery model and our upcoming industry-first tech, digital and payment initiatives, are all weaved in to build a customer-centric retail bank," he said.
(ANI)

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