Dhanlaxmi Bank achieves net profit of Rs 28.3cr in Q1 FY 2023-24
In an impressive turnaround, Dhanlaxmi Bank has announced a net profit of Rs.28.3 crore for the first quarter of the financial year 2023-24. This represents a staggering year-on-year growth of 207.08%, moving from a net loss of Rs.26.43 crore in the same period of the previous financial year.
Dhanlaxmi Bank’s operating profit also saw a substantial increase, reaching Rs.57.94 crore as of June 30, 2023, from a loss of Rs.5.02 crore as of June 30, 2022.
The bank reported a total income increase of 44.16% to reach Rs.341.4 crore as of June 30, 2023. This comes from Rs.236.82 crore as of June 30, 2022. The interest income also saw a boost, growing by 11.91% to reach Rs.289.14 crore.
The bank’s total business reached Rs.23,442 crore as of June 30, 2023, from Rs.21,300 crore as of June 30, 2022, recording a growth of 10.06%. Total deposits also grew by 6.56% to Rs.13,402 crore, with CASA’s share of the total deposit standing at 31.65%. Meanwhile, the retail deposits witnessed a 7.40% growth to reach Rs.6762 crore.
Remarkable turnaround for Dhanlaxmi Bank: Records Rs.28.3cr net profit in Q1 of FY 2023-24. Photo courtesy of Shijoyjames/Wikimedia Commons.
Advances have also improved, reaching Rs.10040 crore from Rs.8724 crore, a growth of 15.08%. The SME portfolio grew by 12.43% and Gold loans registered a 25.4% growth to reach Rs.2540.99 Crore.
Dhanlaxmi Bank has improved its Credit Deposit ratio from 69.37% to 74.91%. As of June 30, 2023, the bank had 255 branches and 273 ATM/recyclers along with 17 Business Correspondents, spread across 14 states and 1 Union Territory.
Shivan J K, MD and CEO of Dhanlaxmi Bank said: “Bank’s performance in Q1 was encouraging, supported by growth in retail advances. The growth is expected to catch momentum in the coming quarters of the current financial year. Bank would continue its focus on CASA, retails deposits, retail and MSME advances while ensuring credit quality.”