RBL Bank posted a 2% (YoY) decline in NII at Rs.908 crore though other income rose 19% at Rs.580 crore. Cost to Income was 45.9% v/s 49.2%.
The dip in NII was due to the write-back of income on standstill accounts, which have not been recognised as non-performing assets (NPA).
Advances showed a degrowth of 5% (YoY) and NIM slipped to 4.19% v/s 4.57% (YoY) and v/s 4.34% (QoQ).
Its operating profit was up 12% at Rs.805 crore and net profit showed a growth of 110% at Rs.147 crore.
In terms of asset quality, Gross NPA came in at 1.84% v/s 3.34% (QoQ) and Net NPA was at 0.71% v/s 1.38%.
Provision Coverage Ratio stood at 86.4% vs 74.8% (QoQ).
The market is happy with the earnings, with the stock price rising 7.5% to hit an intraday high at Rs.231. Its 10% UC for the day is at Rs.236.60.