Private sector lender ING Vysya Bank on Tuesday reported an over 17% rise in net profit at R176.30 crore for the second quarter ended September 30.
The bank had posted net profit of R150.20 crore during the same quarter (July-September) in the last financial year. Total income of the bank during the second quarter of the current fiscal increased by 16.2% to R625 crore.
Net Interest Income (NII) for the quarter increased by 19.4% to R440.30 crore from R368.80 crore in the corresponding quarter of the previous year.
Net Interest Margin (NIM) — the difference of interest earned and interest spend is a gauge of the profitability — was flat at 3.46% compared with 3.45% in the corresponding quarter of the previous year.
“While we have seen margin pressure in the current quarter, we continue to be on track to more than match the full year NIM of 3.52% achieved last year,” bank's managing director Shailendra Bhandari said in a statement.
ING Vysya Bank had reported net profit of R175.12 crore in the June quarter of 2013-14. "This was the sixteenth sequential quarter of PAT (profit after tax) growth," the lender said in the statement.
Bhandari said it was an extremely challenging quarter with significant volatility in both the interest and currency markets.
Share of the bank today closed at R585.60 apiece on the BSE, up 1.03% from its previous close.