- Indian Overseas Bank (IOB) reported a net income of 6.25 billion rupees in the second quarter, marking a 25% increase year on year.
- The bank’s operating profit for the same period was 16.8 billion rupees, a 13% increase from the previous year.
- IOB’s gross non-performing assets decreased to 4.74%, compared to 7.13% in the previous quarter.
- Provisions for the quarter were reported at 10.4 billion rupees, indicating a 24% increase quarter on quarter.
- The bank reported an interest income of 58.2 billion rupees, a 23% increase year on year.
- However, the interest expense also increased by 26% year on year to 34.8 billion rupees.
- The bank’s other income was reported at 11.1 billion rupees, a slight decrease of 1.8% from the previous year.
- IOB shares rose by 4.3% to 40.05 rupees, with 85.8 million shares traded.
- Despite the positive financial results, the bank received no buy or hold ratings, with one analyst recommending a sell.
A look at Indian Overseas Bank Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Indian Overseas Bank has earned a Smartkarma Smart Score of 3-5 for its long-term outlook. This indicates that the bank is likely to continue to be a stable and reliable source of financial services for its customers. The bank operates 1,429 banking branches in India, as well as six branches in overseas locations, and offers loan and deposit schemes, Internet banking, and a full range of banking services.
The bank’s Value score of 3 is a sign of its financial stability, and the Growth score of 4 indicates that the bank is likely to continue to grow. The Momentum score of 5 suggests that the bank is well placed to take advantage of new opportunities, while the Resilience score of 4 suggests that it is well prepared to handle any economic challenges that may arise. The Dividend score of 1 reflects the bank’s commitment to providing its customers with a steady return.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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