Punjab National Bank Reports Significant Growth in Q4 and FY25

State-owned Punjab National Bank (PNB) has announced a remarkable 52% increase in its net profit for the March quarter of FY25, soaring to Rs 4,567 crore from Rs 3,010 crore in the same period last year.

The bank's total income for the quarter rose to Rs 36,705 crore, up from Rs 32,361 crore a year earlier. Interest income also saw a significant increase, reaching Rs 31,989 crore from Rs 28,113 crore in the fourth quarter of FY24.

Improved Asset Quality and Strengthened Capital Adequacy

PNB's asset quality showed notable improvement, with gross Non-Performing Assets (NPAs) declining to 3.95% of gross advances from 5.73% at the end of March 2024. Net NPAs also decreased to 0.40% from 0.73%.

The bank's capital adequacy ratio strengthened to 17.01% from 15.97% at the end of FY24, indicating a healthier financial position.

Annual Performance Highlights

For the full financial year 2024-25, PNB's profit more than doubled to Rs 16,630 crore, compared to Rs 8,245 crore in the previous year. Total income for the year increased to Rs 1,38,070 crore, up from Rs 1,20,285 crore.

The bank's board has recommended a dividend of Rs 2.90 per equity share of Rs 2 each for FY25, subject to shareholder approval. Additionally, the board approved a proposal to raise up to Rs 8,000 crore by issuing Basel III-compliant bonds, which will be raised in one or more tranches during FY26.