- The state-owned bank has Rs 7,000 crore exposure in Adani Group companies
- Agriculture Advances was at Rs 1,38,201 Crore.
- MSME Advances was at Rs 1,24,728 Crore.
NE BUSINESS BUREAU
NEW DELHI, JAN 30
Punjab National Bank (PNB), the country’s second largest public sector lender, on Monday reported a 44 per cent decline in standalone net profit at Rs 629 crore in the third quarter ended December.
The state-owned bank had earned a net profit of Rs 1,127 crore in the year-ago period.
However, total income during October-December 2022 increased to Rs 25,722 crore as against Rs 22,026 crore in the year-ago period, the state-run lender’s managing director and chief executive said on Monday.
On the asset quality front, the bank recorded an improvement with gross NPAs (Non-Performing Assets) declining to 9.76 per cent as compared to 12.88 per cent at the end of third quarter of previous fiscal.
At the same time, the net NPAs eased to 3.30 per cent as against 4.90 per cent in the same period a year ago.
However, provisions for bad loans increased to Rs 3,908 crore during the quarter as against Rs 3,654 crore a year ago.
The capital adequacy ratio rose to 15.15 per cent in the December quarter as against 14.91 per cent.
PNB has Rs 7,000 crore exposure in Adani Group companies
Punjab National Bank has a total exposure of Rs 7,000 crores to Adani Group, but there is currently no worry pertaining to those accounts, PNB CEO Atul Kumar Goel told reporters at a virtual press conference after the company’s quarterly results.
Last week, US short-seller Hindenburg Research flagged concerns about Adani Group’s debt levels and the use of tax havens. Adani Group has said that it complies with all local laws and has made the necessary regulatory disclosures.
“Out of Rs 7,000 crore, around Rs 2,500 crore is related to Adani’s airport business,” Goel said.
The bank has not given any loan to the Adani Group by pledging shares, he added.
