The Biz Reporter
Jammu, Jan 20: J&K Bank has reported a stellar performance for Q3 FY 2025, with a net profit increase of 26.2% year-on-year to Rs 531.51 Cr from Rs 421.08 Cr last year. The Board of Directors, meeting at the Bank’s Zonal Office in Jammu, approved these figures.
The bank’s profit for the first nine months of the fiscal year soared by 32.7% YoY to Rs 1497.92 Cr from Rs 1128.60 Cr, indicating robust growth.
Sustained Growth:
Net Interest Income (NII) for the quarter grew by 17.8% YoY and 5.1% QoQ to Rs 1508.68 Cr, with a nine-month rise of 10.7% YoY to Rs 4313.83 Cr.
Other income for the quarter jumped by 32.9% YoY.
Net Interest Margin (NIM) improved to 4.04%, up 14 bps QoQ.
Return on Assets (RoA) rose by 19 bps YoY to 1.34%.
Cost-to-Income Ratio decreased to 57.28% from 62.36% last year.
MD & CEO Amitava Chatterjee commented, “These results highlight our strong fundamentals and operational efficiency, showcasing our commitment to stakeholder value amidst dynamic market conditions.”
Asset Quality:
Gross NPA ratio fell to 4.08% from 4.84%, a decrease of 76 bps YoY.
Net NPA stood at 0.94%, with a Provision Coverage Ratio (PCR) of 89.67%.
Chatterjee added, “Our focus on asset quality will continue, aiming to meet our guidance of GNPA at 3.5% by fiscal year-end.”
Business Growth:
Net Advances increased by 7% YoY to Rs 95990.38 Cr.
Deposits grew by 9.7% YoY to Rs 140947.14 Cr, with a CASA ratio of 48.17%.
Capital Adequacy:
Capital Adequacy Ratio (CAR) under Basel III rose to 15.09% from 14.18% last year.
Chatterjee stated, “Our capital position is strong, supporting our plans for expanded lending.”
Future Focus:
The bank aims to focus on priority sector lending, particularly in agriculture and MSMEs, while exploring growth in new markets across India. Chatterjee concluded, “We’re poised for enhanced growth, aiming to deliver long-term value to our stakeholders.”
