Dhanlaxmi Bank reports 103% y-o-y increase in 4th quarter net profit

The Thrissur-based lender reported a 103% year-on-year increase in its fourth quarter net profit to R5.28 crore, mostly on lower provisions for bad loans.

Dhanlaxmi Bank on Saturday reported that bad loans have increased significantly in the fourth quarter of FY21, with gross NPA ratio touching 9.23% as against 5.90% in the year-ago period.

The Thrissur-based lender reported a 103% year-on-year increase in its fourth quarter net profit to R5.28 crore, mostly on lower provisions for bad loans.

It reported an operating loss of R4.10 crore in the fourth quarter of last fiscal.

Provisions and contingencies have been reduced by almost 74% to R14.82 crore as against R56.89 crore provided in the year-ago period.

For the complete fiscal 2020-21, the lender reported a net profit of R37.19 crore, which is a 43.4% y-o-y drop from R54.78 crore reported in FY20.

Total income of the lender for the fourth quarter was R242.18 crore as against R280.98 crore reported in the fourth quarter of FY20.

Interest income and other income are also on the lower side when compared to the year-ago period.

On the asset side, the lender reported gross NPA ratio at 9.23% compared to 5.78% in Q3 and 5.90% in the year-ago period.

Net NPA ratio for Q4 FY21 stands at 4.76% as against 1.11% in Q3 and 1.55% in Q4 FY20.