VIJAYA BANK

Vijaya Bank hit a four year high yesterday at Rs.64 and was also locked at the 20% UC on the back of its exuberant Q3Fy17 four fold jump in net profit. Even the asset quality showed a significant improvement on a sequential basis.

The Bank posted a jaw dropping net profit of Rs.230 crore, up from Rs.53 crore in previous Q3. Net interest income (interest earned minus interest expended) increased by 23% (YoY) to Rs.906 crore and other income jumped up three times to Rs.577 crore – the main reason for the jump in bottomline.

In terms of asset quality, Gross NOA fell from 7.07% to 6.98% and Net NPA too fell to 4.74% from 5.10%. YoY though there has been a tremendous jump – Gross NPA was at 4.32% and Net NPA at 2.98% in previous Q3.

Provisioning for bad loans rose 52% (YoY) to Rs.424 crore and sequentially was up 30%.