Central Bank of India Q2 Results: The state-run Central Bank of India reported a whopping 90% jump in its net profit ₹605.4 crore for the September quarter of FY23-24, as against ₹318.2 crore in Q2 FY22-23.

India’s central bank’s profit rise was driven by healthy growth in core income and a decline in non-performing loans. During the quarter, the Central Bank of India’s total revenue increased ₹8,412 crore from ₹7,065 crore a year ago, the central bank of India said in a regulatory filing.

Gross non-performing asset (NPA) improved to 4.62% in the quarter under review. Previously, the state-owned lender had reported an NPA of 9.67% in September FY22-23. Net NPA improved to 1.64% in the September quarter from 2.95% in the year-ago period. Net NPA showed an improvement of 131 basis points.

The bank’s interest income rose in the September quarter ₹7,351 crore in comparison ₹6,155 crore in the same period last year. Net interest income (NII) increased by 10.23% ₹3,028 crore in the second quarter of the current fiscal as against ₹2,747 crore a year ago.

Due to a decline in non-performing loans, also known as NPAs, provisions and contingent liabilities fell ₹967 crore in comparison ₹1,125 crore in the same period a year ago.

As per BSE filing, CBI’s net interest margin increased to 3.53 per cent from 3.12 per cent last year. The provision coverage ratio improved to 92.54 in the quarter from 89.20 in the corresponding period last year.

The bank’s overall business grew by 11.51% ₹6,02,284 crore against ₹5,40,130 in the second quarter of the previous financial year. The bank’s capital adequacy ratio increased to 14.82 percent compared to 13.56 percent.

Central Bank of India’s retail, agriculture and MSME business grew by 14.24%. Business per employee skyrocketed ₹18.60 crore, in Q2FY24 in comparison ₹17.13 crore for the same period last year.