Shares of DCB Bank hit their highest level in a year in early trading on Monday after its September quarter results saw asset quality improve on a sequential basis.
For the September quarter, the bank's Gross NPA stood at 3.89 percent from 4.21 percent in June, while net NPA improved to 1.54 percent from 1.82 percent in the previous quarter.
Provisions declined 11.5 percent to Rs 31 crore from the June quarter.
The bank's Net Interest Margin (NIM) at 3.88 percent turned out to be the highest in 17 quarters.
Net Interest Income or the bank's core income rose 27 percent from last year while advances growth stood at 17 percent year-on-year. Mortgages contributed to a majority of the lender's loan mix.
The bank's net profit rose 73 percent from last year to Rs 112.35 crore. On a sequential basis, the bottom line grew by 15.6 percent.
However, slippages at Rs 455 crore remained elevated for the seventh straight quarter.
DCB Bank also continued its investment in developing the front-line infrastructure with 10 new branches added in the first half of the current fiscal year, taking the total number to 410 across the country.
Shares of DCB Bank gave up gains after hitting their 52-week high and are currently trading 0.50 percent lower at Rs 119.20.
