The logo of Indian Overseas Bank.
Credit: X/@IOBIndia
New Delhi: State-owned Indian Overseas Bank (IOB) on Monday reported a 21 per cent rise in net profit at Rs 874 crore for the third quarter ended December 2024 on the back of a reduction in bad loans.
The Chennai-based lender had earned a net profit of Rs 723 crore in the same quarter a year ago.
Total income increased to Rs 8,409 crore during the quarter under review from Rs 7,437 crore in the same period last year, IOB said in a regulatory filing.
Operating profit of the bank improved to Rs 2,266 crore as against Rs 1,780 crore in December 2023.
Interest income also rose to Rs 7,112 crore over Rs 6,176 crore for the quarter ended December 2023.
On the asset quality front, the bank's gross Non-Performing Assets (NPAs) declined to 2.55 per cent of gross loans by the end of December 2024 from 3.90 per cent a year ago.
Similarly, net NPAs or bad loans came down to 0.42 per cent as compared to 0.62 per cent in FY24.
Capital Adequacy Ratio of the bank rose to 16.97 per cent as against Rs 16.80 per cent at the end of same quarter a year ago.
Provision Coverage Ratio of the bank as on December 31, 2024, stood at 97.07 per cent as compared to 97.06 per cent at the end of September 30, 2024.