InvestorQ : Why did RBL Bank report a sharp fall in profits in the Mar-21 quarter?
Mitali Bhutta made post

Why did RBL Bank report a sharp fall in profits in the Mar-21 quarter?

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1 month ago
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RBL Bank reported 34% lower net profits for the Mar-21 quarter at Rs.75.3 crore. Not surprisingly, this fall in profits was on account of lower net interest income or NII, a small fall in NIMs and above all a s7.5% spike in loan loss provisions at Rs.766 crore. Net interest margins were marginally lower at 4.17%.

In terms of slippages, the gross NPAs expanded by 250 basis points to 4.34% on a yoy basis, which is a worry. RBL’s deposit base grew by 26% and CASA deposits accounted for 36% of its deposit base. Net advances, , grew by just 1% leading to a slack C/D ratio.

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