Dhanlaxmi Bank Net Profit Declines 74% To Rs 3.66 Crore In September Quarter

Dhanlaxmi Bank announced its July-September quarter results for the financial year 2021-22, reporting a net profit of Rs 3.66 crore, compared to Rs 14.01 crore in the corresponding period last year, marking a decline of 74 per cent year-on-year.

The private lender's total income in the second quarter of the current fiscal stood at Rs 266.59 crore, compared to Rs 249.66 crore in the same quarter last year, according to a regulatory filing by Dhanlaxmi Bank to the stock exchanges today.

The bank's provisions for the bad loans and contingencies for the September quarter rose to Rs 22.40 crore, compared to Rs 4.29 crore in the year-ago period. The gross non-performing assets (NPAs) rose to 8.67 per cent of the gross advances as of September 30, 2021, from 6.36 per cent in the year-ago period.

However, sequentially from gross NPAs were down compared to 9.27 per cent in the preceding April-June quarter. Value-wise, the gross NPAs were worth Rs 604.15 crore, up from Rs 448.72 crore. Net NPA also rose to 4.92 per cent - Rs 329.55 crore, compared to 1.66 per cent - Rs 111.45 crore.

"During the quarter ended September 30, 2021, NPA for which provision had already been made amounting to Rs 7,786 lakh has been technically written off," the bank said.

The provision coverage ratio - including technical write off as of September 30, 2021 stood at 74.18 per cent.

On November 4, shares of Dhanlaxmi Bank settled 0.96 per cent higher at Rs 15.75 apiece on the BSE.