J&K Bank posts 43% growth in net profit

J&K Bank posts 43% growth in net profit
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Jammu: The J&K Bank has reported a 43% increase in its net profit to Rs 250.09 Cr for the 09 months ended 31st December 2018 as compared to 174 Cr reported for the same period in previous fiscal. For the 3rd quarter the bank posted a profit of Rs 103.75 Cr as compared to 72.47 Cr for the same quarter last year. The growth in J&K Credit has been reported at 22% over the last year and net interest income the difference between interest earned on loans and that paid on deposits grew to 2452 Cr as compared to 2215 Cr in the 09 months period for last financial year.
The bank announced its results after a meeting Board of Directors in a meeting held at Jammu.
Expressing satisfaction on the results Chairman and CEO J&k Bank Parvez Ahmed said, “The Bank has been able to maintain consistency in its growth rate and earnings. Our focus on expansion of credit in J&K has strengthened our core income with a credit growth rate of 22 % which is spread across all the regions of the state with traction in all the sectors especially retail and SME. We met our third quarter profit estimates
despite downgrading the much publicized IL&FS exposure and making adequate provisions, though a number of the banks are still maintaining the account as standard. With this our clean up is almost complete & recognition cycle is drawing to an end though credit costs will take some more quarters to align to the long term averages due to provisioning pressure on account of IL&FS and ageing of NPAs.
Going forward we are going to consolidate further and for now we will maintain our strategy of J&K state focused growth which offers a reasonably high absorption capacity with pull across sectors in alignment with the development oriented budget and recently announced industrial policy of the state.”