Outcome
Awaiting price reaction for this filing.
Punjab & Sind Bank's Board approved audited financial results for Q4 and FY ended March 31, 2025, reporting a sharp jump in net profit to Rs. 1,015.83 crore for FY25 from Rs. 595.42 crore in FY24 (about 70% growth). Q4 FY25 net profit rose to Rs. 312.73 crore from Rs. 139.35 crore in the year-ago quarter. Asset quality improved notably with Gross NPA ratio falling to 3.36% (from 5.43%) and Net NPA to 0.96% (from 1.63%); Capital Adequacy Ratio strengthened to 15.32%. The Board recommended a modest dividend of Rs. 0.07 per share (0.70%) subject to shareholder approval. The Bank also raised Rs. 1,219.39 crore via QIP in March 2025, reducing Government of India holding to 93.85%.
Strong profit growth and clean asset quality improvement are positive for shareholders, though the dividend yield is very small. Investors should note that operating cash flow turned sharply negative in FY25 despite higher reported profits, and the auditor flagged an ongoing family pension liability of Rs. 236.84 crore being amortized over five years.