Canara Bank - Q2FY22 Highlights

Key Highlights (September 2020 V/s September 2021)

• Net Profit stood at Rs.1333 cr against Net profit of Rs.444 cr for September 2020.
• Operating Profit stood at Rs. 5604 cr grew by 21.91%.
• Treasury Income grew by 95.10%.
• Non-Interest Income grew by 37.54%.
• Fee based income grew by 20.02%.
• Cash Recovery grew by 90.32%.
• Cost to Income Ratio improved by 307 bps.
• Global Business grew by 7.61%.
• Domestic Business grew by 6.84%.
• CASA Deposits increased by 12.04%
• Savings Bank Deposits grew by 12.17%
• Retail Credit grew by 10.46% with Housing loan at 14.21%.
• RAM constitutes 56.90% of Total Advances.
• Net NPA Ratio stood at 3.21% down by 21 bps.
• Provision Coverage Ratio (PCR) at 82.44% improved by 96 bps.
• CRAR stood at 14.37% as at Sep 2021 against 12.77% as at Sep 2020.
• CET1 stood at 10.09% as at Sep 2021. Bank has raised QIP to the tune of Rs. 2500 Cr during Q2FY22.
• Return on Equity stood at 12.36% against 4.82% as at Sep 2020.

Key Summary of Business Performance (as on 30.09.2021)

Business

• Global Business increased by 7.61% (y.o.y) to Rs 1719350 Cr as at Sep 2021 with Global Deposits at Rs 1032536 Cr 8.83% (y.o.y) and Global Advance (gross) at Rs 686813 Cr 5.83% (y.o.y)
• Domestic Deposit of the Bank stood at Rs 980337 Cr as at Sep 2021 with growth of 7.61% (y.o.y)
• Domestic Advances (gross) of the Bank stood at Rs 662991 Cr as at Sep 2021 grew by 5.71% (y.o.y)
• Retail lending Portfolio increased 10.46% (y.o.y) to Rs 119138 Cr as at Sep 2021
• Housing Loan Portfolio increased 14.21% y.o.y to Rs 67386 Cr
• Vehicle Loan portfolio increased 8.38% y.o.y to Rs 13697 Cr
• Advances to Agriculture grew by 13.92% (y.o.y) to Rs 161632 Cr as at Sep 2021

Asset Quality

• Gross Non-Performing Assets (GNPA) ratio reduced to 8.42% as at Sep 2021 down from 8.50% as at June 2021, 8.93% at March 2021.
• Net Non-Performing Assets (NNPA) ratio reduced to 3.21 % as at Sep 2021 down from 3.46% as at June 2021, 3.82% as at March 2021.
• Provision Coverage Ratio (PCR) stood at 82.44% as at Sep 2021 against 81.18% as at June 2021.

Capital Adequacy

• CRAR stood at 14.37% as at Sep 2021. Out of which Tier-I is 11.41% and Tier-II is 2.96%
• Bank successfully raised capital during FY22 through QIP Equity - Rs. 2500 crore
• The Capital Raising Plan for FY-22:
  AT-1 Bonds : Rs.4000 Cr
  Tier II Bonds : Rs.2500 Cr

Priority Sector & Financial Inclusion

• The Bank has achieved Targets in Priority Sector at 46.27% and Agricultural Credit at 20.49% of ANBC as at Sep 2021, as against the norm of 40% and 18% respectively.
• Credit to small and marginal farmers stood at 13.34% of ANBC, against the norm of 9%.
• Credit to Weaker Sections stood at 19.64% of ANBC, against the norm of 11%
• Bank has opened 139 lakhs accounts under PMJDY and mobilised CASA deposits of Rs 6089 Cr as at Sep 2021

Network

• As on 30.09.2021, the Bank has 9800 Number of Branches, out of which 3037 are Rural, 2796 SemiUrban, 1971 Urban & 1996 Metro along with 10988 ATMs.

Shares of Canara Bank was last trading in BSE at Rs. 201.95 as compared to the previous close of Rs. 198.55. The total number of shares traded during the day was 1487264 in over 11069 trades.

The stock hit an intraday high of Rs. 206.65 and intraday low of 198.55. The net turnover during the day was Rs. 302598230.00.

Source : Equity Bulls

Keywords

CanaraBank INE476A01014 CANBK Banks Q2FY22 Highlights