Jana Small Finance Bank GNPA at 2.5% in Q1 FY24
Jana Small Finance Bank's GNPA ratio for Q1 FY24 stands at 2.5%, showing a slight increase due to seasonal factors, while its secured loans grow to 62% of the total portfolio.
by Damodharan N
Updated Jul 23, 2024
Table of Content
Jana Small Finance Bank reported a Gross Non-Performing Asset (GNPA) ratio of 2.5% for the first quarter of FY24, up from 2.7% in the previous quarter Q1 FY23. The slight increase is attributed to specific events and seasonal factors. The Net Non-Performing Asset (NNPA) ratio improved to 0.95% from 1.09% in Q4 FY23.
The bank’s Loan Assets Under Management (AUM) grew by 25% year-on-year, reaching ₹25,759 crore. Advances increased by 25% year-on-year and 4% quarter-on-quarter. Secured loans saw an 8% growth quarter-on-quarter, while unsecured loans fell by 1%. The proportion of secured loans rose to 62% from 60% in March 2024.
This performance highlights Jana Small Finance Bank's continued efforts in enhancing its loan portfolio while managing non-performing assets.
Source: Here
Jana Small Finance Bank Q1 FY24 Results
Jana Small Finance Bank Limited announced its unaudited financial results for the first quarter ending June 30, 2024.
Key Highlights:
- Loan AUM: ₹25,759 crore, up 25% year-on-year. Advances increased by 25% year-on-year and 4% quarter-on-quarter. Secured loans grew 8% quarter-on-quarter, while unsecured loans decreased by 1%. The secured loan portfolio now makes up 62% of the total, up from 60% in March 2024.
- Total Deposits: ₹23,710 crore, reflecting a 41% increase year-on-year and 5% quarter-on-quarter. CASA (Current Account Savings Account) deposits rose 47% year-on-year and 9% quarter-on-quarter to ₹4,846 crore. Term Deposits grew 40% year-on-year and 4% quarter-on-quarter. CASA ratio improved to 20.4% from 19.7% in March 2024.
- Capital Adequacy: The bank's Capital Adequacy Ratio (CAR) stands at 19.3%, with a Tier-1 Capital Ratio (CRAR) of 18.2%. With interim profit included, CAR increases to 20.2% and Tier-1 CRAR to 19.1%. The liquidity coverage ratio (LCR) is strong at 296%.
- Profit After Tax (PAT): ₹171 crore, up 89% from ₹90 crore in Q1 FY24. This includes an additional provision of ₹54 crore and Deferred Tax Assets (DTA) of ₹10 crore.
- Cost-Income Ratio: 55.5%, with a Return on Assets (ROA) of 2.1% and Return on Equity (ROE) of 18.8%.
- Gross NPA: 2.5%, a slight increase attributed to seasonal and event-driven factors.
Mr. Ajay Kanwal, MD and CEO of Jana Small Finance Bank, commented: “We had a strong quarter, with growth in secured assets and deposits, and a focus on CASA. The slight rise in GNPA is considered seasonal and event-driven, and we will address it thoroughly in the upcoming quarters. We are committed to serving aspirational India across 24 states and aim to be a reliable banking partner for our customers.”
Key ratios highlights for this quarter:
|
Particulars |
Q1 FY24 |
Q1 FY23 |
|
CASA to Total Deposit (%) |
20.4% |
19.6% |
|
Net Interest Margin (Annualised) |
8.0% |
7.6% |
|
Cost to Income Ratio |
55.5% |
58.0% |
|
Return on Average Assets (Annualised) |
2.1% |
1.4% |
|
Return on Average Equity (Annualised) |
18.8% |
18.3% |
|
Capital Adequacy Ratio (CAR) |
19.3% |
18.7% |
|
Gross NPA (%) |
2.5% |
2.7% |
|
Net NPA (%) |
0.95% |
1.09% |
Financial statement for Q1 FY24
|
Particulars (in ₹ Crore) |
Q1 FY24 |
Q1 FY23 |
|
Net Interest Income |
610 |
462 |
|
Non-Interest Income |
189 |
188 |
|
Total Income |
799 |
650 |
|
Operating Expenses (Opex) |
443 |
377 |
|
Operating Profit |
356 |
273 |
|
Provision (Other than Taxes) |
196 |
183 |
|
Profit Before Tax (PBT) |
160 |
90 |
|
Tax Expense (Credits) |
(10) |
0 |
|
Profit After Tax (PAT) |
171 |
90 |
This performance reflects Jana Small Finance Bank’s ongoing efforts to expand its footprint and strengthen its financial stability.
Jana Small Finance Bank
Jana Small Finance Bank, established in March 2018, is the fourth largest Small Finance Bank in India with over 16 years of lending experience. It serves 12 million customers through 780 branches across 22 states and 2 union territories.
Originally a non-banking financial company (NBFC-MFI), it has transitioned to a bank with 62% of its lending book secured by mortgages. The bank boasts a growing retail deposit base, a strong brand, and high customer service standards. Its management team has an average of 24 years of experience, supported by a well-regarded board.
Jana Small Finance Bank Q1 FY24 Results - FAQs
1. What was Jana Small Finance Bank’s Gross NPA ratio for Q1 FY24?
The Gross Non-Performing Asset (GNPA) ratio for Jana Small Finance Bank was 2.5% for the first quarter of FY24.
2. How does the Gross NPA ratio for Q1 FY24 compare to Q1 FY23?
The Gross NPA ratio decreased from 2.7% in Q1 FY23 to 2.5% in Q1 FY24.
3. What is the Net NPA ratio for Q1 FY24?
The Net Non-Performing Asset (NNPA) ratio for the first quarter of FY24 was 0.95%.
4. How does the Net NPA ratio for Q1 FY24 compare to Q4 FY23?
The Net NPA ratio improved from 1.09% in Q4 FY23 to 0.95% in Q1 FY24.
5. What was Jana Small Finance Bank’s Loan AUM for Q1 FY24?
The Loan Assets Under Management (AUM) stood at ₹25,759 crore for Q1 FY24.
6. How much did the Loan AUM grow year-on-year?
The Loan AUM grew by 25% year-on-year compared to the same quarter in the previous fiscal year.
7. What was the growth in advances for Q1 FY24?
Advances increased by 25% year-on-year and 4% quarter-on-quarter for Q1 FY24.
8. How did secured loans perform quarter-on-quarter in Q1 FY24?
Secured loans saw an 8% growth quarter-on-quarter during Q1 FY24.
9. How did unsecured loans perform quarter-on-quarter in Q1 FY24?
Unsecured loans experienced a decrease of 1% quarter-on-quarter in Q1 FY24.
10. What is the proportion of secured loans in the total portfolio as of Q1 FY24?
The proportion of secured loans in the total loan portfolio increased to 62% from 60% as of March 2024.
11. What were the total deposits for Q1 FY24?
Total deposits for Q1 FY24 amounted to ₹23,710 crore.
12. How much did total deposits increase year-on-year?
Total deposits increased by 41% year-on-year in Q1 FY24.
13. What was the growth in CASA deposits for Q1 FY24?
CASA (Current Account Savings Account) deposits grew by 47% year-on-year in Q1 FY24.
14. What is the CASA ratio for Q1 FY24?
The CASA ratio for Q1 FY24 is 20.4%.
15. What was the Capital Adequacy Ratio (CAR) for Q1 FY24?
The Capital Adequacy Ratio (CAR) for Jana Small Finance Bank was 19.3% in Q1 FY24.
16. What is the Tier-1 Capital Ratio (CRAR) for Q1 FY24?
The Tier-1 Capital Ratio (CRAR) was 18.2% for Q1 FY24.
17. How does the CAR change when interim profit is considered?
When including the interim profit, the CAR increases to 20.2% for Q1 FY24.
18. How does the Tier-1 CRAR change with interim profit?
With the interim profit included, the Tier-1 CRAR rises to 19.1% for Q1 FY24.
19. What is the liquidity coverage ratio (LCR) for Q1 FY24?
The liquidity coverage ratio (LCR) stands strong at 296% for Q1 FY24.
20. What was the Profit After Tax (PAT) for Q1 FY24?
The Profit After Tax (PAT) for Q1 FY24 was ₹171 crore.
21. How does PAT for Q1 FY24 compare to Q1 FY23?
PAT increased by 89% from ₹90 crore in Q1 FY23 to ₹171 crore in Q1 FY24.
22. What was the Cost-Income Ratio for Q1 FY24?
The Cost-Income Ratio for Q1 FY24 was 55.5%.
23. What is the Return on Assets (ROA) for Q1 FY24?
The Return on Assets (ROA) for Q1 FY24 is 2.1%.
24. What is the Return on Equity (ROE) for Q1 FY24?
The Return on Equity (ROE) for Q1 FY24 is 18.8%.
25. What was Jana Small Finance Bank’s Net Interest Income for Q1 FY24?
The Net Interest Income for Q1 FY24 was ₹610 crore.
26. How does Net Interest Income for Q1 FY24 compare to Q1 FY23?
Net Interest Income increased from ₹462 crore in Q1 FY23 to ₹610 crore in Q1 FY24.
27. What was the Total Income for Q1 FY24?
Total Income for Q1 FY24 amounted to ₹799 crore.
28. What were the Operating Expenses (Opex) for Q1 FY24?
Operating Expenses (Opex) were ₹443 crore for Q1 FY24.
29. What was the Operating Profit for Q1 FY24?
The Operating Profit for Q1 FY24 was ₹356 crore.
30. What was the Profit Before Tax (PBT) for Q1 FY24?
The Profit Before Tax (PBT) for Q1 FY24 was ₹160 crore.