BANDHAN BANK LTD Announces Quarterly Results (4QFY20); Net Profit Down 20.5%

Thu, 14 May

BANDHAN BANK LTD has announced its results for the quarter ended March 2020. Here is a detailed performance review of the same:

BANDHAN BANK LTD Quarterly Financials

No. of Mths Qtr. Ending		3 Mar-19*	3 Dec-19*	3 Mar-20*	QoQ Change	YoY Change
Operating income	Rs m	18,327	27,176	28,463	4.7%	55.3%
Other income	Rs m	3,878	3,577	5,002	39.8%	29.0%
Total revenues	Rs m	22,205	30,753	33,465	8.8%	50.7%
Interest	Rs m	5,752	11,774	11,663	-0.9%	102.8%
Gross Profit	Rs m	12,575	15,403	16,800	9.1%	33.6%
Other expenses	Rs m	4,921	6,341	6,595	4.0%	34.0%
Profit before tax	Rs m	9,999	9,690	6,933	-28.4%	-30.7%
Tax	Rs m	3,491	2,380	1,760	-26.0%	-49.6%
Profit after tax	Rs m	6,509	7,310	5,173	-29.2%	-20.5%
Gross profit margin	%	68.6	56.7	59.0
Effective tax rate	%	34.9	24.6	25.4
Net profit margin	%	35.5	26.9	18.2

Year-on-Year Performance:

• The bank's operating income (interest earned) during the quarter grew 55.3% on a year-on-year (YoY) basis. The interest expended was up by 102.8% YoY during the same period.
• The bank's operating profit increased by 33.6% YoY during the quarter. Consequently, operating profit margins witnessed a decline and stood at 59.0% in 4QFY20 as against 68.6% in 4QFY19.
• Other income increased by 29.0% YoY during the quarter.
• Net profit for the quarter declined by 20.5% YoY. Net profit margins during the quarter declined from 35.5% in 4QFY19 to 18.2% in 4QFY20.

Quarter-on-Quarter Performance:

• The bank's operating income (interest earned) during the quarter grew 4.7% on a quarter-on-quarter (QoQ) basis. The interest expended was down by 0.9% QoQ during the same period.
• The bank's operating profit increased by 9.1% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 59.0% in 4QFY20 as against 56.7% in 3QFY19.
• Net profit for the quarter declined by 29.2% QoQ, while net profit margins declined from 26.9% in 3QFY19 to 18.2% in 4QFY20.

To see how BANDHAN BANK LTD has performed over the last eight quarters,please visit here.

FLASH SALE: Grab 1 Year of Hidden Treasure for FREE...

BANDHAN BANK LTD Share Price Performance

Over the last one year,BANDHAN BANK LTD share price has moved down from Rs 543.1 to Rs 248.3, registering a Loss of Rs 294.8 or around 54.3%.

Meanwhile, the S&P BSE BANKEX is trading at Rs 22,083.2 (down 1.5%). Over the last one year it has moved down from 32,235.0 to 22,083.2, a loss of 10,152 points (down 31.5%).

Overall, the S&P BSE SENSEX is down 14.8% over the year.

Current Valuations

At the current price of Rs 248.3, the price to earnings (P/E) ratio of BANDHAN BANK LTD stands at 16.3 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 4.2 times.