Canara Bank Q1 net profit up 10% to Rs 3,905 cr

New Delhi: State-owned Canara Bank on Thursday posted a 10 per cent rise in its net profit to Rs 3,905 crore for the first quarter ended June 30, on account of reduction in bad loans.

The Bengaluru-based lender had earned a net profit of Rs 3,535 crore in the year-ago period.

During the quarter, the bank's total income increased to Rs 34,020 crore, as against Rs 29,823 crore a year ago, Canara Bank said in a regulatory filing.

Interest income grew to Rs 28,701 crore during the period under review, from Rs 25,004 crore in the corresponding quarter a year ago.

On the asset quality side, the bank's Gross Non-Performing Assets (NPAs) moderated to 4.14 per cent of gross advances as of June 30, 2024, from 5.15 per cent by the end of first quarter of the previous fiscal.

Net NPAs also came down to 1.24 per cent of the advances, from 1.57 per cent at the end of first quarter of last year.

As a result, provision for bad loans declined to Rs 2,171 crore, as against Rs 2,418 crore earmarked during the same quarter a year ago.

The Capital Adequacy Ratio (CRAR) marginally increased to 16.28 per cent, as compared to 16.24 per cent on June 30, 2023.