Indian Overseas Bank Q2 results: Net profit increases to Rs 777 crore, Download Results
State-owned Indian Overseas Bank (IOB) reported a 24% increase in net profit, reaching ₹777 crore for the second quarter ended September 2024. This compares to a net profit of ₹625 crore in the same period last year. The bank’s total income grew to ₹8,484 crore during the quarter, up from ₹6,935 crore in the corresponding quarter of the previous year, according to its regulatory filing. Interest income for the quarter rose to ₹6,851 crore, compared to ₹5,821 crore in the year-ago period.
On the asset quality front, IOB successfully reduced its gross non-performing assets (NPAs) to 2.72% of gross loans by the end of September 2024, down from 4.74% a year earlier. Similarly, net NPAs decreased to 0.47%, compared to 0.68% at the end of the second quarter of the previous fiscal year.
As a result, provisions for bad loans significantly dropped to ₹71 crore, a sharp decline from the ₹1,121 crore set aside in the same quarter of FY24. The bank’s Provision Coverage Ratio stood at 97.06% as of September 30, 2024, while its Capital Adequacy Ratio improved to 17.45%, up from 17% at the same time last year.
