Indian Overseas Bank’s Net Profit Up By 24.32% YoY In Q2FY25
The total income of the bank has also reported a substantial increase during the quarter as it grew by 22.34 per cent year-on-year (YoY) to Rs 8,484 crore
Reflecting strong growth across key financial metrics, Indian Overseas Bank (IOB) has reported a 24.32 per cent year-on-year (YoY) increase in its net profit in the second quarter of the current financial year (Q2FY25). As per the financial results of the quarter, the net profit of IOB has risen to Rs 777 crore.
The total income of IOB has also reported a substantial increase during the quarter as it grew by 22.34 per cent YoY to Rs 8,484 crore. The operating profit reported a rise of 26.89 per cent YoY to Rs 2,128 crore, up from Rs 1,677 crore. The total business of IOB saw a growth of 12.2 per cent YoY to reach Rs 5,40,801 crore from Rs 4,82,006 Crore.
As per the financial results, total deposits rose by 13.75 per cent YoY to Rs 3,10,652 Crore, while the gross advances increased by 10.16 per cent to Rs 2,30,149 Crore. The return on assets (ROA) for Q2FY25 reached 0.82 per cent, showing an improvement of 7 basis points from the previous year, while return on equity (ROE) increased to 16.90 per cent, up by 74 basis points YoY.
Interest income grew by 17.69 per cent YoY to Rs 6,851 Crore, whereas the non-interest income saw a YoY growth of 46.59 per cent, reaching Rs 1,633 Crore. Additionally, the net interest margin (NIM) stood at 3.08 per cent for the quarter.
The bank’s current and savings accounts (Casa deposits) improved by 10.61 per cent YoY, totalling Rs 1,31,856 Crore, with a Casa ratio of 42.44 per cent as of 30 September 2024. Credit to deposit (CD) Ratio stood at 74.09 per cent for the quarter. The gross non-performing assets (NPA) ratio decreased by 202 basis points (bps) to 2.72 per cent from 4.74 per cent a year ago, while the net NPA ratio improved by 21 bps to 0.47 per cent from 0.68 per cent YoY.
