The lender's net interest income (NII), difference between interest earned and interest expended, rose 5% to ₹7,305 crore for the quarter under review.
The asset quality showed improvement, with the gross non-performing assets (GNPAs) falling to 11.78% of the gross advances as of March 2022, from 14.12% a year ago. Net NPAs or bad loans too declined to 4.8% from 5.73%. However, the lender kept a higher provision for bad loans and contingencies for Q4 FY22 at ₹4,851 crore against Rs 3,540 crore earlier.
PNB said it is holding total provision of ₹8,384 crore (aggregate provision of RBI list 1 and list 2 accounts) as on March 31, 2022 (99.78% of gross NPA advances). In FY21, it was ₹8,374 crore.
The bank raised Basel III compliant AT1 bonds and tier ll bonds of ₹3,971 crore and ₹1,919 crore, respectively, in FY22. Provisioning coverage ratio as on March 31, 2022 works out to 81.60% against 80.14% as on March 31, 2021.
The board of directors has recommended dividend of Re 0.64 per equity share (i.e. 32%) of face value of ₹2 each for 2021-22, subject to shareholders' approval at the ensuing annual general meeting (AGM).