RBL Bank Announces Unaudited Financial Results for the Quarter Ended 31st December 2022
The Board of Directors of RBL Bank Limited approved the unaudited financial results for the quarter ended 31st December 2022 at its meeting held on Friday, 20th Jan 2023.
Results Summary for Q3FY23
Steady operating performance:
- Net Profit grew 34% YOY to Rs. 209 crore
- Operating profit was Rs. 567 crore
- Total Revenue grew 11% YOY to Rs. 1,767 crore
- Net Interest Income grew 14% YOY to Rs. 1,148 crore; NIM was 4.74%
- Other Income grew 6% YOY to Rs. 618 crore
- Cost to Income was 67.9%
CASA and Deposits Growth:
- Total deposits grew 11% YOY to Rs. 81,746 crore
- CASA grew 18% YOY to Rs. 29,948 crore. CASA ratio at 36.6% vs. 34.4% as at 31st Dec 2021
- Retail Deposits (as per LCR definition) grew 25% YOY to Rs. 34,769 crore
Advances Growth:
- Net Advances book grew 15% YOY and 6% sequentially to Rs. 66,684 crore
- Retail Advances book grew 13% YOY and 7% sequentially to Rs. 34,977 crore
- Retail: Wholesale mix at 52:48
Well capitalized with sound liquidity:
- Overall capital adequacy (including 9M FY23 profits) was 17.0% and Common Equity Tier 1 ratio was 15.5%
- Average Liquidity Coverage Ratio at 144%
Asset quality:
- Gross NPA ratio improved to 3.61% vs. 3.80% as at 30th Sep 2022 and the Net NPA ratio was 1.18% vs. 1.26% as at 30th Sep 2022
- The provision Coverage Ratio including technical write offs was 84.7% vs 84.3% as at 30th Sep 2022.
Network
- As of 31st Dec 2022, the Bank has 516 bank branches and 1,168 business correspondent branches, of which 298 are banking outlets. RBL Finserve Limited (“RBL Finserve”), a 100% subsidiary of the Bank, accounts for 821 business correspondent branches
Key Financials:
| in crore | Q3 FY23 | Q3 FY22 | YoY | Q2 FY23 | QoQ | 9M FY23 | 9M FY22 |
| Net Interest Income | 1,148 | 1,010 | 14% | 1,064 | 8% | 3,240 | 2,895 |
| Other Income | 618 | 583 | 6% | 583 | 6% | 1,815 | 1,829 |
| Net Total Income | 1,767 | 1,593 | 11% | 1,648 | 7% | 5,056 | 4,725 |
| Operating Profit | 567 | 631 | (10%) | 512 | 11% | 1,609 | 2,088 |
| Provisions (other
than tax) |
293 | 424 | (31%) | 241 | 21% | 787 | 2,460 |
| Net profit (after tax) | 209 | 156 | 34% | 202 | 4% | 612 | (273) |
| in crore | Dec 31,
2022 |
Dec 31,
2021 |
YoY | Sep 30,
2022 |
QoQ |
| Advances (Net) | 66,684 | 58,141 | 15% | 62,942 | 6% |
| Retail Advances
(Net) |
34,977 | 30,900 | 13% | 32,686 | 7% |
| Deposits | 81,746 | 73,639 | 11% | 79,404 | 3% |
| CASA | 29,948 | 25,318 | 18% | 28,718 | 4% |
| Investments
(Net) |
26,777 | 22,983 | 17% | 25,813 | 4% |
Key ratios:
| Particulars (in %) | Q3 FY23 | Q3 FY22 | Q2 FY23 | 9M FY23 | 9M FY22 |
| Net Interest Margin | 4.74 | 4.34 | 4.55 | 4.55 | 4.25 |
| Cost to Income | 67.9 | 60.4 | 68.9 | 68.2 | 55.8 |
| Return on Assets | 0.78 | 0.61 | 0.77 | 0.77 | (0.36) |
| Return on Equity | 6.25 | 4.97 | 6.12 | 6.21 | (2.89) |
| Gross NPA | 3.61 | 4.84 | 3.80 | 3.61 | 4.84 |
| Net NPA | 1.18 | 1.85 | 1.26 | 1.18 | 1.85 |
| PCR incl. Technical Write-
offs |
84.7 | 78.6 | 84.3 | 84.7 | 78.6 |
| Actual PCR | 68.0 | 62.9 | 67.8 | 68.0 | 62.9 |
Commenting on the performance, Mr. R Subramaniakumar, MD&CEO, RBL Bank said “We have had another quarter of improving operating performance and we are confident of continuing this trend in coming quarters. Our Business growth, driven by granular advances and deposits growth, continues to improve, in line with our strategy and execution. Our initiatives over the last six months on new product launches, and scale up of granular retail products are also starting to bear fruit. As these products scale up, we expect growth to become more broad based. Our asset quality and capital position continues to be healthy giving us the runway to accelerate profitable growth of the balance sheet.”