PNB profits quadruple, with “NPAs declining for five quarters”

In comparison to the same period last year, Punjab National Bank (PNB) reported an almost four-fold increase in net profit to Rs 1,756 crore, the highest in 14 quarters. The bank saw a decline in provisions and contingencies, as well as an improvement in asset quality and higher interest income.

Since we have been lowering the amount of new slippage in non-performing assets for the past five quarters, it will be sustainable at less than 1% of advances.

In the upcoming quarters, this number won’t rise. Both the need for provisions and my provision coverage ratio have decreased. Additionally, we have adequately budgeted for pay revisions, PNB MD & CEO Atul Kumar Goel said.

Goel stated that although there have been some worries regarding the asset quality, particularly with regard to unsecured loans, this segment’s share of the total loan portfolio is extremely small at Rs 25,700 crore.