Last Updated on January 25, 2024 by ethinos
Table of Content
Canara Bank Financial Results for the Quarter Ended 31st December 2023:
1. Profit Growth:
- Net Profit witnessed a substantial YoY increase of 26.86%.
- Global Business demonstrated a robust YoY growth of 9.87%.
2. Key Highlights (9 Months Ended – December 2023 vs. December 2022):
- Global Business: Achieved ₹22,13,360 Cr, indicating a notable growth of 9.87%.
- Gross Advances: Stood at ₹9,50,430 Cr, reflecting a substantial YoY increase of 11.69%.
- Net Profit: December 2023 recorded ₹3,656 Cr compared to ₹2,882 Cr in December 2022.
- Net Interest Income: Registered a growth of 9.50%, reaching ₹9,417 Cr.
- Net Interest Margin: Improved to 3.02%, a positive change of 9 basis points.
3. Credit Performance:
- RAM Credit: Experienced a notable growth of 14.56%, reaching ₹5,30,444 Cr from ₹4,63,038 Cr in December 2022.
- Retail Credit: Grew by 12.14%, with housing loan growth specifically at 12.07%.
4. Asset Quality:
- Gross NPA Ratio: Decreased to 4.39%, marking a reduction of 150 basis points.
- Net NPA Ratio: Improved to 1.32%, showing a decline of 64 basis points.
- Provision Coverage Ratio (PCR): Stood at an improved 89.01%, up by 269 basis points.
5. Capital Adequacy and Returns:
- CRAR (Capital to Risk-Weighted Assets Ratio): Maintained a strong position at 15.78% as of December 2023, with CET1 at 11.28%.
- Return on Assets (ROA): Improved to 1.01% for Q3 FY24 from 0.76% in Q3 FY23.
- Return on Equity (ROE): Showed growth, reaching 21.95% for Q3 FY24, compared to 18.38% in Q3 FY23.
Additional Read: Q3 Results Dashboard
Business Overview:
1. Global Business Growth:
- Global Business increased by 9.87% (YoY) to ₹22,13,360 Cr as of December 2023.
- Global Deposits reached ₹12,62,930 Cr, and Global Advances (gross) amounted to ₹9,50,430 Cr.
2. Domestic Operations:
- Domestic Deposits stood at ₹11,66,848 Cr as of December 2023, showing an 8.07% YoY growth.
- Domestic Advances (gross) reached ₹9,01,465 Cr, experiencing a substantial YoY growth of 12.56%.
3. Retail Lending:
- The Retail Lending Portfolio increased to ₹1,53,640 Cr, marking a growth of 12.14% YoY.
- Housing Loan Portfolio specifically grew by 12.07% YoY, reaching ₹91,800 Cr.
4. Agriculture & Allied Activities:
Advances to Agriculture & allied activities grew significantly by 19.26% YoY, reaching ₹2,42,470 Cr as of December 2023.
Asset Quality:
1. Non-Performing Assets:
- Gross Non-Performing Assets (GNPA) ratio stood at 4.39% in December 2023, showing a positive trend from 4.76% in September 2023 and 5.89% in December 2022.
- Net Non-Performing Assets (NNPA) ratio improved to 1.32% in December 2023, compared to 1.41% in September 2023 and 1.96% in December 2022.
2. Provision Coverage Ratio (PCR):
Provision Coverage Ratio (PCR) demonstrated improvement, reaching 89.01% in December 2023 from 86.32% in December 2022.
Capital Adequacy:
- Capital to Risk-Weighted Assets Ratio (CRAR) stood at a robust 15.78% as of December 2023.
- Breakdown: CET1 – 11.28%, Tier-I – 13.38%, Tier-II – 2.40%.
Priority Sector & Financial Inclusion:
- The Bank achieved impressive targets in Priority Sector at 45.91% and Agricultural Credit at 21.77% of ANBC as of December 2023, surpassing norms.
- Credit to small and marginal farmers stood at 15.18% of ANBC, exceeding the norm of 10%. Credit to Weaker Sections stood at 21.66% of ANBC, surpassing the norm of 12%.
Network:
- As of December 31, 2023, the Bank operates 9585 branches, including 3095 Rural, 2742 Semi Urban, 1906 Urban, and 1842 Metro branches, along with 10463 ATMs.
- Additionally, the Bank has three Overseas Branches located in London, New York, and Dubai.
Additional Check: Canara Bank Share Price
About Canara Bank
Canara Bank, renowned for its customer-centric approach, was established in July 1906 by Shri Ammembal Subba Rao Pai, a visionary philanthropist, in Mangalore, Karnataka. The bank has traversed diverse growth phases over its century-long existence, experiencing significant expansion after nationalisation in 1969, achieving national prominence in geographical reach and clientele. The 1980s witnessed the bank’s business diversification. Celebrating a century in June 2006, Canara Bank’s journey has been marked by numerous milestones, securing a premier position among Indian banks today.
Canara Bank boasts several noteworthy achievements, including pioneering the Inter-City ATM Network, securing ISO Certification for a Branch, articulating Good Banking through the Banks Citizen Charter, establishing an Exclusive Mahila Banking Branch, launching a Subsidiary for IT Consultancy, issuing credit cards for farmers, and providing Agricultural Consultancy Services. Evolving into a significant Financial Conglomerate, the bank has thirteen subsidiaries/sponsored institutions in India and abroad. As of September 2023, Canara Bank serves over 11.19 crore customers through a vast network of 9,518 branches and 12,118 ATMs/Recycler, spanning all Indian states and Union Territories.
Beyond commercial banking, Canara Bank has left a distinct mark in corporate social responsibilities, actively contributing to national priorities, promoting rural development, facilitating rural self-employment through training institutes, and championing financial inclusion objectives.
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Sources:
https://www.bseindia.com/xml-data/corpfiling/AttachLive/60c2b720-e081-45a3-a910-2e4a8f748e6b.pdf
