RBL Bank's Q1FY25 profit rises 29% to ₹372 crore
What's the story
RBL Bank has announced a net profit of ₹372 crore for the first quarter (April-June) of the fiscal year (FY) 2025, marking a significant 29% increase from ₹288 crore during the same period last year. The bank's gross non-performing assets (GNPA) improved to 2.69% in Q1 FY25, down from last year's figure of 3.22%. Furthermore, net non-performing assets (NNPA) also showed improvement, standing at just 0.74% compared to last year's 1%.
Revenue boost
Significant growth in deposits and interest income
RBL Bank's net interest income for the first quarter was ₹1,700 crore, marking a substantial 20% increase from the previous year. Total deposits also saw an impressive growth of 18% year-on-year (YoY) to reach ₹1.01 lakh crore. The current account and savings account (CASA) ratio stood at a healthy 32.6%. Deposits of less than ₹3 crore grew at a faster rate of 25% YoY and 5% quarter-on-quarter (QoQ), amounting to ₹49,980 crore or nearly half of total deposits.
Information
CEO highlights focus on granular deposits
R Subramaniakumar, the MD and CEO of RBL Bank, emphasized the bank's strategic focus on growing granular deposits. "We keep our focus on growing granular deposits and we expect the growth momentum to continue," Subramaniakumar said.
Sectoral growth
Increase in retail and wholesale advances
RBL Bank reported a 19% YoY growth in its retail advances, reaching ₹86,704 crore. The bank also saw a substantial increase of 31% YoY in wholesale advances to ₹53,737 crore. The retail to wholesale mix of the bank stood at a ratio of 62:38. This growth was accompanied by significant increases in specific sectors such as housing loans, rural vehicle finance, and commercial banking.