Srinagar: In yet another historic performance, J&K Bank has posted its highest-ever annual net profit of Rs 2082.46 Cr for the financial year 2024-25, marking a hattrick of highest-ever profits since FY 2022-23. The Bank registered a year-on-year growth of over 17.83% compared to Rs 1767.27 Cr reported for FY 2023-24.
The Bank declared its annual and Q4 results today after its Board of Directors approved the numbers at a meeting held here at the Bank’s Corporate Headquarters. The Bank’s net profit for Q4FY24-25 stood at Rs 584.54 Cr, up 10% QoQ from Rs 531.51 Cr recorded during the previous quarter of the FY 2024-25.
Performance Highlights: Beating consecutively its own highest record of profits achieved during the last two financial years, the Bank’s annual net profit surged to Rs 2082.46 Cr, while maintaining a strong and resilient balance sheet.
With its other income crossing Rs 1000 Cr mark at Rs 1136.81 Cr and up YoY by 37.7%, the Bank’s Net Interest Income (NII) grew 11.34 % YoY to Rs 5793.82 Cr while the net interest margin (NIM) stood at 3.92%.
The Bank’s operating profit also rose 28.7% and stood at Rs 2929.79 Cr. During the quarter, the Bank’s Return on Assets (RoA) reached healthy levels to 1.44% QoQ as against 1.34% recorded during the September-December quarter of current financial year.
Expressing satisfaction on the results, MD & CEO Amitava Chatterjee said, “We are delighted to present yet another record-breaking performance with our all-time high net profit of Rs 2082 Cr, while maintaining NIM at 3.92% despite industry wise pressure on margins owing to the rising cost of deposits. Achieving a hattrick of historic profits over the past three years is a reflection of the trust our customers place in us, the dedication of our staff, and the strategic direction laid out by the leadership team.”
“With our core fortified and transformation underway, we are prepared to scale up growth operations in high-potential geographies and deepening our presence in core markets, especially in J&K and Ladakh. Going forward, we aim to maintain this growth momentum with increased emphasis on retail, MSME, and agriculture lending – while accelerating our digital transformation to further enhance customer experience”, he added.
Business Growth: J&K Bank’s total deposits increased by 10.24% YoY to Rs 148569.46 Cr as on March 31, 2025, compared to Rs 134774.89 Cr last year. The Net Advances rose to Rs 104198.72 Cr, registering a growth of 11.13% from Rs 93762.51 Cr a year ago. Both deposits and advances grew by 5.4% and 8.6% QoQ respectively. The Bank’s CASA Ratio stood at 47.01%, maintaining a healthy share of low-cost deposits in the overall mix.
Commenting on business growth, the MD & CEO said, “Adorned with a milestone of advances crossing Rs 1 Lakh Cr mark, the Bank’s business performance reflects resilience and adaptability. Despite competitive pressures, the Bank has managed to maintain a CASA ratio of 47% – which continues to be among the best in the industry. This, coupled with a double-digit growth in advances and deposits, signifies the growing trust and deep-rooted relationships we enjoy across our customer base in the country.”
“With our planned expansion in high-growth markets, we are well-positioned to capture emerging opportunities in the current financial year”, he added.
Asset Quality: Reinforcing its commitment to credit discipline and risk management, the Bank’s Gross NPA ratio declined sharply by 71 bps to 3.37% from 4.08% recorded a year ago, while the Net NPA ratio stood at 0.79%.
The Provision Coverage Ratio (PCR) remains strong at over 90%, underscoring the Bank’s focus on prudential provisioning.
Commenting upon the improved asset-quality, MD & CEO said, “Our continued improvement in asset quality is reflective of process excellence in credit appraisal, focused monitoring and sectoral diversification. We have not only met but improved upon our annual guidance on asset quality. This reaffirms our goal of building a resilient, future-ready bank,” MD stated.
Capital Adequacy: The Bank’s CAR stood at 16.29% as on March 31, 2025, providing ample cushion for future growth and investments in digital and operational capabilities.
Digital Transformation & ESG Commitments: The Bank’s digital journey continues to progress with the rollout of several new digital customer journeys and upgradation of backend systems. The institution has ensured uninterrupted services even during peak loads, especially around festive seasons. Internally, the Bank has fully implemented e-office systems, drastically cutting down paper usage and driving operational sustainability.
“Our digital transformation is not just about efficiency but about reimagining customer experience,” the MD said, adding, “Our ESG focus includes green banking, sustainable lending and internal reforms to reduce carbon footprint – all integral to our larger purpose of responsible growth.”
Human Capital Development: With continuous investment in its human capital, the Bank has enhanced learning and growth pathways for employees. Its in-house e-learning platform ‘e-Pathshala’ is operational, promoting knowledge-sharing and encouraging career growth.
“Our HR strategy revolves around talent transformation. By reskilling and upskilling staff, we are creating a future-ready workforce aligned with evolving business and organisational needs of the Bank,” MD & CEO said.
Corporate Social Responsibility: On the Bank’s CSR initiatives, MD & CEO said, “During the year, we undertook a diverse range of impactful CSR initiatives across key sectors such as healthcare, environmental sustainability, education, and skill development. With a total financial outlay of over Rs 31 Cr, these interventions reflect the Bank’s continued commitment to inclusive and sustainable development across the region. With improved profitability, we aim to enhance our contributions toward the overall social good during the current financial year.”
Entrepreneurship & Regional Development: Reaffirming its regional commitment, the Bank will continue to empower youth through entrepreneurship-linked credit, especially in UTs of J&K and Ladakh.
In this regard, MD & CEO Amitava Chatterjee asserted, “We are proud to be an institution of systemic importance for economic transformation in our core geographies. We reaffirm our purpose everyday by supporting businesses led by young, energetic entrepreneurs and promoting inclusive growth.”
He concluded by saying, “On behalf of the entire leadership team, I extend heartfelt thanks to our customers, all shareholders especially our promoters, members on our board, our employees and regulators for their continued support and trust.”
Notably, in line with its growth aspirations, the Bank has also expanded its reach through strategic partnerships, branch additions and digital product innovations.
