Srinagar, Apr 28: J&K Bank shares are reaching new highs after the bank’s stock on Friday at the National Stock Exchange (NSE) ended at Rs 58.40, up 7.45% from the day before (April 27).
The increased trading volume for J&K Bank shares has drawn investors to the stock which is giving good returns and has experienced significant growth over the previous month.
In only the last five trading days, the share price of J&K Bank rose by Rs 7.90, or 15.6 percent.
On the stock exchange, the share’s performance has been consistent. The value of the Bank share has increased by over 21 percent over the last month, which is fantastic news for investors. If the Bank continues to produce outstanding results, the stock price will rise much more in the market.
As seen by the share’s ongoing performance, the bank has been successful in restoring investors’ confidence after it had been damaged a few years prior. On December 2021, BaldevPrakash joined the bank as MD and CEO. At that time, the share price was a little over Rs 36.
Under BaldevPrakash’s direction, the bank has shown signs of recovery, and stability in its performance is apparent to rebuild the balance sheet.
In comparison to the same period the previous year, J&K Bank’s net profit increased by 79 percent year over year (YoY) to Rs 311.59 crore during the December Quarter of FY 2022–23.
The bank’s profit for the first nine months is up 85% to Rs 721.05 crore from Rs 389.36 crore recorded during the first nine months of the previous fiscal, putting it well on its path to exceed annual profitability expectations.
The Bank’s Net Interest Income (NII) surged by 27 percent YoY to Rs 1257.38 crore for the December quarter when compared to Rs 993.30 crore recorded last year, while growing 19 percent YoY for nine months to Rs 3495.73 crore.
The bank’s Operating Profit grew by 65 percent YoY to Rs 544.11 crore for the December quarter, 2022.
The bank’s NIM has also improved by 54 basis points (bps) YoY to 4.10 percent - the highest in last seven years - while as the Return on Assets rose to 0.92 percent for the December quarter from 0.57 percent recorded last year. With Yield on Advances improving by 90 bps to 9.34 percent, the bank’s steadily moderating cost-to-income ratio has come down further to 63.71 percent for the third quarter.
The Gross NPA Ratio of the bank has further come down 168 bps YoY and 42 bps QoQ to 7.25 percent for the quarter while the Net NPA ratio has moderated YoY by 94 bps to 2.08 percent. The provision coverage ratio (PCR) of the bank stood at 84.83 percent for the quarter ended December 2022.