FEDERAL BANK Announces Quarterly Results (1QFY19); Net Profit Up 25.0%
Thu, 26 Jul

FEDERAL BANK has announced its results for the quarter ended June 2018. Here is a detailed performance review of the same:

FEDERAL BANK Quarterly Financials

No. of Mths
Qtr. Ending
3
Jun-17*
3
Mar-18*
3
Jun-18*
QoQ ChangeYoY Change
Operating incomeRs m23,24125,48026,6744.7%14.8%
Other incomeRs m3,2913,1422,709-13.8%-17.7%
Total revenuesRs m26,53228,62129,3822.7%10.7%
InterestRs m15,23416,14816,8734.5%10.8%
Gross Profit Rs m8,0079,3329,8015.0%22.4%
Other expensesRs m5,7196,5886,480-1.6%13.3%
Profit before taxRs m3,2142,1704,03886.0%25.6%
TaxRs m1,1137211,41195.8%26.8%
Profit after taxRs m2,1021,4502,62781.2%25.0%
Gross profit margin %34.536.636.7
Effective tax rate%34.633.234.9
Net profit margin%9.05.79.8
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster


Year-on-Year Performance:
  • The bank's operating income (interest earned) during the quarter grew 14.8% on a year-on-year (YoY) basis. The interest expended was up by 10.8% YoY during the same period.
  • The bank's operating profit increased by 22.4% YoY during the quarter. Consequently, operating profit margins witnessed a growth and stood at 36.7% in 1QFY19 as against 34.5% in 1QFY18.
  • Other income declined by 17.7% YoY during the quarter.
  • Net profit for the quarter increased by 25.0% YoY. Net profit margins during the quarter increased from 9.0% in 1QFY18 to 9.8% in 1QFY19.
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 up by 4.5% QoQ during the same period.
  • The bank's operating profit increased by 5.0% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 36.7% in 1QFY19 as against 36.6% in 4QFY18.
  • Net profit for the quarter increased by 81.2% QoQ, while net profit margins increased from 5.7% in 4QFY18 to 9.8% in 1QFY19.

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

FEDERAL BANK Share Price Performance

Over the last one year, FEDERAL BANK share price has moved up from Rs 114.8 to Rs 86.5, registering a Loss of Rs 28.4 or around 24.7%.

Meanwhile, the S&P BSE BANKEX is trading at Rs 30,328.9 (up 1.1%). Over the last one year it has moved up from 27,961.9 to 30,328.9, a gain of 2,367 points (up 8.5%).

Overall, the S&P BSE SENSEX is up 0.4% over the year.

Current Valuations

At the current price of Rs 86.5, the price to earnings (P/E) ratio of FEDERAL BANK stands at 8.0 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 0.6 times.