Punjab National Bank jumps over 6% after Q1 net profit grows 159% YoY

The net profit came in at ₹3,252 crore against ₹1,255 crore in the corresponding quarter of the previous fiscal. The net interest margins (both global and domestic) stand at nearly 3%. Net interest income (NII) rose 10% to ₹10,476 crore.

Total Income rose 12.5% to ₹32,166 crore in Q1 FY25 compared to ₹28,579 crore in the previous year. Savings deposits grew 4.4% YoY to ₹4,84,377 crore, and current deposits and CASA Deposits stood at ₹64,702 crore and ₹5.49 lakh crore, respectively. The net non-performing assets (NNPA) fell by ₹11,199 crore to ₹5,930 crore as of June from ₹17,129 crore in the same period the previous year. The global business registered a growth of 10.03% YoY, while global deposits rose 8.5%.

Managing Director of PNB, Atuk Kumar Goel, said: “With the improvement in capital position, the bank has decided to cut the proposed share sale size through Qualified Institutional Placement (QIP) to ₹5,000 crore from an earlier estimate of ₹7,500 crore.”

Further, the public sector lender revised its FY25 guidance for the GNPA ratio to approximately 4% from 5% and credit cost to below 0.5% from below 1%.

The stock touched a 52-week high of ₹142.9 on April 30, 2024, and a 52-week low of ₹58.60 on August 2, 2023. The company’s market capitalisation, at current market price of ₹127.25 per share, stands at ₹1.4 lakh crore. On a technical basis, PNB’s relative strength index (RSI) is at 48, and the stock is trading above the 5, 10, 50, 100, 150 and 200-day moving averages.