RBL Bank on Friday said that it expects some challenges on some of their exposures in the near term.
In addition to asset-quality trend, Street will keep an eye on capital
The interest earned during the quarter rose to Rs 2,022.67 crore from Rs 1,364.22 crore a year earlier
For the June quarter, RBL Bank posted a 41 per cent year-on-year (YoY) rise in net profit or PAT (profit after tax) at Rs 267.1 crore. Sequentially, the numbers grew 8 per cent.
RBL's rich valuations, at 3.5 times its FY20 estimated book, is similar to HDFC Bank's, which continues to remain among the most expensive banking stock for its ability to maintain a clean loan book
The net interest margins rose to 4.23% in Q4FY19 from 3.98 per cent in Q4FY18
The expected increase in costs of deposits likely to offset margin gains from high-yield loan segments, say analysts
Net Interest Income up 40% to 655 crore; improvement in asset quality seen in better NPA ratios
With the bank growing its assets by over 30-35% quarter after quarter, it is constantly in need of capital
While the bank expects resolution on big-ticket loans by the next quarter, it remains cautious on its agricultural portfolio
Deposits for the quarter grew by 29% and advances grew by 38%
Currently, Swadhaar operates in 17 states and union territories through 242 branches
HDFC Life, ICICI Lombard, ABG Capital, CDC Group, Global IVY Ventures among key investors
Caution after 77% run-up this year
Thus far in 2017, RBL Bank and YES Bank outperformed the market by gaining more than 30%.
RBL Bank, DCB Bank, IndusInd Bank and Lakshmi Vilas rallied between 15% and 32% post Q3 results.
RBL Bank scrip rose by about 5% as it continued to rerate on positive December quarter results
The stock rallied 7% to Rs 393 after the bank reported a 59% YoY increase rise in net profit at Rs 129 crore in Q3FY17.
Net interest income up 45%; other income up 66% to Rs 182 cr; slight improvement in asset quality
Bank said it is a drive towards cashless loan disbursements, which otherwise is dominated by physical cash