Latest news with #AshokChandra
&w=3840&q=100)
Business Standard
19 hours ago
- Business
- Business Standard
'Removal of minimum balance penalty to impact over ₹300 cr annual income'
Our domestic NIM currently stands at 2.84 per cent. Including our overseas portfolio of Rs 55,000 crore, the global NIM is around 2.70 per cent, says Chandra New Delhi Listen to This Article Punjab National Bank (PNB) -- which did not disburse any credit to startups in the financial year 2024-25 (FY25)-- has now set up seven startup-focused centres across the country to boost lending, its Managing Director and Chief Executive Officer Ashok Chandra said in an interview with Harsh Kumar at PNB headquarters. Chandra also said the state-owned lender plans to list its subsidiary, Canara HSBC Life Insurance, by the third quarter of FY26 and will dilute 10 per cent of its current 23 per cent stake. Edited excerpts:
&w=3840&q=100)
Business Standard
a day ago
- Business
- Business Standard
PNB to focus on project financing to revive business loan growth: CEO
Punjab National Bank will focus on financing infrastructure, smart metering and renewable energy projects to revive its business loan growth, CEO Ashok Chandra said on Wednesday. The New Delhi-based company, India's second-largest state-owned lender by market value, had said earlier this year that it was targeting 11 per cent-12 per cent of overall loan growth in FY26. However, the bank's loans to businesses, which make up nearly 43 per cent of PNB's domestic advances, grew only 6.9 per cent in the first quarter ended June. Its loans to medium-and-small businesses rose 18.6 per cent and retail loans grew 11.8 per cent, which helped the overall domestic loans increase 9.6 per cent, but it fell short of the target range. "Subdued growth (in business loans) was because (of) some low-yielding this year will be on project financing," Chandra told Reuters in an interview, adding that the lender was once "very active" in this space and is now looking to revive it. Apart from project financing, the bank will also target sectors such as real estate, rental discounting and data centres for lending opportunities, Chandra said. The lender on Wednesday reported a net profit of ₹1,675 crore for the first quarter, down 48 per cent from 32.52 billion rupees a year earlier. The fall in profit was mainly due to a one-time charge of ₹3,324 crore, as a result of a change in tax regime. PNB's profit before tax rose around 28 per cent. The gross non-performing asset ratio declined to 3.78 per cent in the quarter from 3.95 per cent in the previous three months. The bank is on track to reach its gross non performing assets ratio level of below 3 per cent, which would be PNB's lowest on record, and meet its recoveries target of 160 billion rupees by FY26, Chandra said. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Economic Times
2 days ago
- Business
- Economic Times
PNB's Ashok Chandra sees 11-12% credit growth in FY26
New Delhi: State-run Punjab National Bank, which exceeded the ₹7,000-crore mark in quarterly operating profit for the first time, expects credit growth of around 11-12% in FY26, Ashok Chandra, managing director, told ET. Operating profit of the lender touched ₹7,081 crore in the June quarter, paced by income from treasury, loan recoveries, and other non-interest income components like processing fees. Chandra said PNB's corporate loan book, which is under development at different stages, is at ₹129,000 crore, and the lender should be able to maintain around 9-10% growth in this segment. "I think a lot of disbursements have started happening in July. From Q2 onwards, good disbursements should happen in the system, because now MCLRs are also reduced, so we have also reduced them by 15 basis points. All those things will have an impact on corporates, encouraging them to come forward," he energy is one of the champion sectors for the bank, and the loan book has grown to ₹21,354 crore from ₹14,400 crore in June 2024. On Tuesday, the bank posted a 48% decline in standalone net profit at ₹1,675 crore for the quarter, on account of higher tax expenses. The bank posted a net profit of ₹3,252 crore in year-ago period."We have adjusted the entire tax outgo with that minimum alternate tax, or MAT, which we had accumulated. Now, this year, if we are not migrating, then we are supposed to pay the actual tax at 35%, whereas for the new tax regime, it is around 25%," Chandra explained, noting a 10% saving will get reflected going bank's asset quality improved as gross non-performing assets (NPAs) declined to 3.78% of gross advances at end of the June quarter, from 4.98% a year ago. Capital Raising Chandra noted that although the bank has approvals to raise ₹8,000 crore, the lender has a sufficient capital to risk assets ratio or CRAR, of 17.5%, and even the Common Equity Tier, or CET-1, is also more than 12.5%. Sale in Subsidiaries The PNB managing director noted that they will offload a 10% stake in Canara HSBC Life Insurance when the insurer lists itself on the bourses in the second or third quarter of this fiscal year. "Other than that, no immediate plans," he said. On the Supreme Court order that scrapped JSW Steel's ₹19,700-crore acquisition of Bhushan Power and Steel (BPSL) four years ago, citing "gross violation" of the IBC, Chandra said the SC has agreed to take up the review petition.
Time of India
2 days ago
- Business
- Time of India
PNB's Ashok Chandra sees 11-12% credit growth in FY26
New Delhi: State-run Punjab National Bank , which exceeded the ₹7,000-crore mark in quarterly operating profit for the first time, expects credit growth of around 11-12% in FY26, Ashok Chandra , managing director, told ET. Operating profit of the lender touched ₹7,081 crore in the June quarter, paced by income from treasury, loan recoveries, and other non-interest income components like processing fees. Explore courses from Top Institutes in Please select course: Select a Course Category Leadership Project Management CXO Data Science Data Science others Finance healthcare Data Analytics Degree Management Public Policy Design Thinking Digital Marketing Others Technology PGDM Healthcare Artificial Intelligence Product Management MCA Cybersecurity MBA Operations Management Skills you'll gain: Opportunities & Outlining Plans to use AI & ML Applying Data-Driven Business Innovation Best Practices Changing Culture to Integrate AI-Enabled Technologies Ethics, Privacy and Regulations in AI & ML Duration: 20 Weeks Indian School of Business ISB Leadership in AI Starts on May 14, 2024 Get Details Skills you'll gain: Strategic Thinking & Planning Competitive Advantage & Market Positioning Strategic Leadership & Decision-Making Change Management & Organizational Transformation Duration: 1 Year IIM Kozhikode IIMK Advanced Strategic Management Programme Starts on Mar 30, 2024 Get Details Skills you'll gain: Duration: 10 Months IIM Indore Executive Programme in Business Management Starts on undefined Get Details Skills you'll gain: Financial Accounting & Analysis Financial Instruments & Markets Corporate Finance & Valuation Investment Management & Banking Duration: 12 Months IIM Kozhikode IIMK Professional Certificate in Financial Analysis and Financial Management Starts on Mar 30, 2024 Get Details Skills you'll gain: Duration: 11 Months IIM Lucknow CERT-IIML SLP India Starts on undefined Get Details Skills you'll gain: Duration: 10 Months IIM Kozhikode CERT-IIMK-Women Leadership Programme INDIA Starts on undefined Get Details Skills you'll gain: Duration: 12 Months IIM Kozhikode Senior Management Programme Starts on undefined Get Details Skills you'll gain: Duration: 12 Months IIM Kozhikode SEPO - IIMK CEO Programme India Starts on undefined Get Details Skills you'll gain: Duration: 18 Weeks 109820388 Strategic Marketing for Leaders: Leveraging AI for Growth Starts on undefined Get Details Skills you'll gain: Duration: 12 Weeks IIM Kozhikode CERT-IIMK EPIS Async India Starts on undefined Get Details Skills you'll gain: Critical Thinking & Decision-Making Skills Power of Emerging Technologies Innovation and Drive Organizational Change Fostering a Culture of Innovation Duration: 9 Months MIT xPRO MIT Technology Leadership and Innovation Starts on May 14, 2024 Get Details Skills you'll gain: Duration: 22 Weeks Indian School of Business SEPO - ISB Venture Capital & Private Equity India Starts on undefined Get Details Skills you'll gain: Duration: 12 Months IIM Kozhikode Advanced Strategic Management Programme Starts on undefined Get Details Chandra said PNB's corporate loan book, which is under development at different stages, is at ₹129,000 crore, and the lender should be able to maintain around 9-10% growth in this segment. "I think a lot of disbursements have started happening in July. From Q2 onwards, good disbursements should happen in the system, because now MCLRs are also reduced, so we have also reduced them by 15 basis points. All those things will have an impact on corporates, encouraging them to come forward," he said. Renewable energy is one of the champion sectors for the bank, and the loan book has grown to ₹21,354 crore from ₹14,400 crore in June 2024. On Tuesday, the bank posted a 48% decline in standalone net profit at ₹1,675 crore for the quarter, on account of higher tax expenses. The bank posted a net profit of ₹3,252 crore in year-ago period. "We have adjusted the entire tax outgo with that minimum alternate tax, or MAT, which we had accumulated. Now, this year, if we are not migrating, then we are supposed to pay the actual tax at 35%, whereas for the new tax regime, it is around 25%," Chandra explained, noting a 10% saving will get reflected going forward. The bank's asset quality improved as gross non-performing assets (NPAs) declined to 3.78% of gross advances at end of the June quarter, from 4.98% a year ago. Capital Raising Chandra noted that although the bank has approvals to raise ₹8,000 crore, the lender has a sufficient capital to risk assets ratio or CRAR, of 17.5%, and even the Common Equity Tier, or CET-1, is also more than 12.5%. Sale in Subsidiaries The PNB managing director noted that they will offload a 10% stake in Canara HSBC Life Insurance when the insurer lists itself on the bourses in the second or third quarter of this fiscal year. "Other than that, no immediate plans," he said. On the Supreme Court order that scrapped JSW Steel 's ₹19,700-crore acquisition of Bhushan Power and Steel (BPSL) four years ago, citing "gross violation" of the IBC, Chandra said the SC has agreed to take up the review petition.
Economic Times
2 days ago
- Business
- Economic Times
PNB to focus on project financing to revive business loan growth, CEO says
Punjab National Bank will focus on financing infrastructure, smart metering and renewable energy projects to revive its business loan growth, CEO Ashok Chandra said on Wednesday. The New Delhi-based company, India's second-largest state-owned lender by market value, had said earlier this year that it was targeting 11%-12% of overall loan growth in FY26. However, the bank's loans to businesses, which make up nearly 43% of PNB's domestic advances, grew only 6.9% in the first quarter ended June. Its loans to medium-and-small businesses rose 18.6% and retail loans grew 11.8%, which helped the overall domestic loans increase 9.6%, but it fell short of the target range. "Subdued growth (in business loans) was because (of) some low-yielding this year will be on project financing," Chandra told Reuters in an interview, adding that the lender was once "very active" in this space and is now looking to revive it. Apart from project financing, the bank will also target sectors such as real estate, rental discounting and data centres for lending opportunities, Chandra said. The lender on Wednesday reported a net profit of 16.75 billion rupees for the first quarter, down 48% from 32.52 billion rupees a year earlier. The fall in profit was mainly due to a one-time charge of 33.24 billion rupees, as a result of a change in tax regime. PNB's profit before tax rose around 28%. The gross non-performing asset ratio declined to 3.78% in the quarter from 3.95% in the previous three months. The bank is on track to reach its gross non performing assets ratio level of below 3%, which would be PNB's lowest on record, and meet its recoveries target of 160 billion rupees by FY26, Chandra said.
