The bank's Net Interest Income (NII) for the quarter grew by 75% year on year to Rs 275.70 crore in Q4 FY21 from Rs 157.54 crore in the corresponding quarter of the previous year. Net interest margin rose to 5.42% in Q4 FY21 from 3.73% in Q4 FY20.
Total non-interest income grew 30% to Rs 112.32 crore for Q4 FY21 from Rs 86.57 crore in Q4 FY20.
Provisions and contingencies fell 16% to Rs 70.95 crore in Q4 FY21 compared with Rs 84.32 crore in Q4 FY20. The aggregate provision against the likely impact of COVID-19, including the RBI mandated provision, as on 31 March 2021 stood at Rs 102.12 crore and is grouped under other liabilities and provisions in the balance sheet.
On the asset quality front, gross NPA decreased from Rs 409.43 crore as on 31 March 2020 to Rs 393.49 crore as on 31 March 2021. While, Gross NPA as percentage of advances came down to 2.68% on 31 March 2021 from 3.54% on 31 March 2020. Net NPA as percentage of advances decreased to 1.17% as on 31 March 2021 from 1.91% as on 31 March 2020.
The bank reported an all-time high net profit of Rs 218.40 crore for the year ended March 2021 (FY21) compared with Rs 12.72 crore in the year ended March 2020 (FY20). The total income grew 31.3% year on year to Rs 2273.11 crore in FY21 over FY20.
The bank's total deposits grew by 21.21% to Rs 19,140.04 crore as of 31 March 2021 from Rs 15,790.68 crore on 31 March 2020. Advances surged by 27% year on year to Rs 14,438.12 crore on 31 March 2021 from 11,366.35 crore on 31 March 2020. The bank's CASA ratio improved to 32.19% on 31 March 2021 from 3.02% on 31 March 2020.
Speaking about the performance, C VR Rajendran, MD & CEO said, While the industry grew by approx. 12% in deposits and 6% in advances, we could outperform by recording 21% and 27% growth in deposits and advances respectively. In terms of profitability, we could break all the past records by crossing the Rs 200 Cr mark. The key ratios viz NIM, Cost Income Ratio, RoA, RoE, Gross NPA, Net NPA, PCR & CRAR continued to be strong. Our liquidity position continues to be ultra-comfortable. We have made enough provisions for stressed assets by way of accelerated NPA provisioning and standard asset provisioning. Given the situation, I feel that we can fully focus on growth in FY 22 without any baggages of the past. Gold loans, two-wheeler loans, Agri loans, MSME and SME will continue to be in the main focus. Revised structure and policies are in place for SME vertical and the focus will be on select segments, customer priorities and value proposition. Retail team will be working on improved product offerings and the related process framework with due focus on customer acquisition. While going digital will be the mantra, we also plan to add close to 200 branches to our network in FY 22 so that there is proper mix of brick and click banking. Though we may have to wait for a month or so to fully understand the impact of second wave of COVID 19, we are optimistic in our outlook to continue the good work in FY 22 as well.
CSB Bank has a strong base in Kerala along with significant presence in Tamil Nadu, Karnataka, and Maharashtra. It offers a wide range of products and services to overall customer base of 1.6 million, with particular focus on SME, retail, and NRI customers.
Shares of CSB Bank fell 1.3% to Rs 257.95 on Friday.
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