PNB

For Q1FY13, the bank reported a net profit at Rs. 1,246 crore, up 13% and NII was up 19% at Rs.3695 crore. NIM at 3.60% improved from 3.50% in the March quarter. The bank expects NIM at 3.5% by the end of FY13. Market share of the bank in deposits improved 5 basis points (bps) during the quarter to 5.65% from 5.60% as of 31st March 2012. Likewise, its market share in advances also strengthened 5 bps to 5.60% from 5.55%, sequentially. As of 30th June 2012, the bank had deposits of over Rs. 3.85 lakh crore of which 35.6% were in CASA (current and savings account), while the bank’s advances were 2.94 lakh crore. Its annualized RoA stood at 1.08%.

There are concerns on the bank’s asset quality, similar to challenges being faced by other PSU lenders. During the first quarter of FY13, gross NPAs rose to 9,988 crore, accounting for 3.34% of the gross advances, mainly on account of fresh slippages in the power and aviation sectors. Its net NPAs currently stand at Rs. 4,917 crore, accounting for 1.68% of net advances, up from Rs. 4,454 crore or 1.28%, as of 31st March 2012.  The increase in NPAs was mainly on account of a total slippage of Rs.2700 crore and it restructured assets to the tune of Rs.1235 crore. Its total restructured loan is at Rs.24,048crore on an outstanding basis and about Rs.31,000 crore on a gross basis. With current networth of Rs. 27,613 crore, its book value per share (BVPS) is Rs.814, as of 30th June 2012.