Share price of Indian Overseas Bank jumped almost 7% intraday in Friday's early session after the lender declared its April-June quarter earnings.
Indian Overseas Bank reported a net profit of Rs 120.69 crore in the April-June quarter against a loss of Rs 342.08 crore in the year-ago period.
Following the earnings update, shares of Indian Overseas Bank climbed 6.8% to the intraday high of Rs 12.21 on BSE against the earlier close of Rs 11.43.
Stock price of Indian Overseas Bank has jumped 13% in the last 5 days. Indian Overseas Bank shares trade 5, 20, 50, 100 and 200-day moving averages. Market capitalisation of the firm stood at Rs 19,395 crore as of today's session. The stock has risen 7% in one month and 4.8% since the beginning of the year.
Indian Overseas Bank stock price closed Thursday's trade at Rs 11.43, up 3.63% against the previous closing price on the BSE, ahead of Q1 results.
Lender's net interest income (NII) gained by 9.6% to Rs 1,412.32 crore as against Rs 1,288.46 crore in the same quarter last year.
Provisions & Contingencies stood at Rs 970 crore in Q1 FY21as against Rs 1,170.24 crore in Q1 FY20. On a yearly basis, Provision Coverage Ratio improved to 87.97% as against 72.24%.
Lender's total deposits grew to Rs 2.26 lakh crore as on quarter ended June 30, 2020 as against Rs 2.21 lakh crore during the same quarter last fiscal, while its total business was up at Rs 4.41 lakh crore from Rs 4.37 lakh crore.
IOB's gross advances stood at Rs 1.32 lakh crore by April- June quarter as against Rs 1.47 lakh crore during the same period last fiscal year.
During the April-June quarter, the bank's gross NPA fell by 106 bps to 13.90% from 14.78% and net NPA fell by 34 bps to 5.10% from 5.44%.
The bank added that it has evolved a policy of not taking fresh exposures in stressed sectors, below hurdle rated accounts and BB and below rated accounts. "The bank has also exited from accounts in the stressed sectors to improve the quality of assets," the Chennai-headquartered lender added in its regulatory filing.