Punjab & Sind Bank has announced a significant improvement in its financial performance for the quarter and financial year ending 31st March, 2025.
The bank’s net profit soared by 125.18 per cent year-on-year in the fourth quarter, reaching Rs 313 crore, while the annual net profit jumped by 70.76 per cent to Rs 1,016 crore. This robust growth was underpinned by a sharp rise in operating profit, which climbed by 142.86 per cent year-on-year to Rs 816 crore in Q4 and by 83.47 per cent to Rs 2,075 crore for the full year.
Net Interest Income (NII) for the fourth quarter surged by 62.84 per cent to Rs 1,122 crore, contributing to an 18.44 per cent growth in total interest income for FY25, which stood at Rs 11,482 crore. The bank also witnessed an improvement in asset quality, with Gross NPA falling by 205 basis points to 3.38 per cent and Net NPA dropping to 0.96 per cent. The Provision Coverage Ratio strengthened to 91.38 per cent, an increase of 269 basis points over the previous year.
Operational metrics showed notable improvements as well. The net interest margin (NIM) for Q4 FY25 rose by 87 basis points to 3.19 per cent, while the cost-to-income ratio improved significantly by 1,488 basis points to 54.61 per cent. The bank’s Return on Assets (RoA) also increased to 0.79 per cent in the fourth quarter.
Total business of the bank grew by 11.69 per cent year-on-year to Rs 2,29,379 crore, driven by a 15.87 per cent increase in total advances to Rs 99,605 crore. Retail, Agriculture, and MSME (RAM) advances saw a healthy growth of 23.53 per cent, contributing to 55.15 per cent of total advances. Deposits grew by 8.68 per cent to Rs 1,29,774 crore, with retail term deposits rising by 9.81 per cent.
In terms of technological initiatives and expansion, the bank launched digital journeys for home loans, car loans, and MSME and agriculture segments. It also launched the PSB UnIC Biz app for corporate clients and raised Rs 1,219 crore via QIP and Rs 3,000 crore through infrastructure bonds. Additionally, Punjab & Sind Bank signed MoUs with multiple defence establishments for salary accounts.
Recognising its efforts, the bank received several awards during the year. These include the ‘Top Improver’ award in the EASE 6.0 Reforms Index, accolades for MSME awareness and promotion of government schemes, the Best Tech Talent & Organisation Award for small banks from the Indian Banks’ Association, and the ‘Highest DQI Improvement Award’ in the PSU commercial banking segment.
These achievements collectively underscore Punjab & Sind Bank’s steady progress in profitability, operational efficiency, asset quality, and digital transformation.
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