Shares of public sector bank Indian Overseas Bank (IOB) jumped three per cent in the morning session on December 11 after the state-owned bank received an order confirming refund of Rs 1,359.29 crore for the assessment year 2015-16, including interest.
“We wish to inform you that the order was received through the Income Tax portal on December 10, 2024 and the Bank also received the information regarding the said order on December 10, 2024,” the bank said in a communication to the stock exchanges.
At 9.15 am, shares of Indian Overseas Bank rose 3.4 percent to Rs 38.85 on the NSE.
Earlier in November, Indian Overseas Bank had received a tax refund of Rs 1,238 crore from the income tax department pertaining to the assessment year 2019-20 and this also includes interest under section 244-A of the Income Tax Act.
Just two months ago, the bank had reported another tax refund of Rs 123.8 crore for the assessment year 2021-22, according to a September regulatory filing.
For the second quarter ended September 30, 2024, Indian Overseas Bank reported a 24.4 per cent year-on-year rise in net profit to Rs 777.2 crore as compared to Rs 624.6 crore in the same period last year. Net interest income grew 8.2 percent to Rs 2,537.3 crore from Rs 2,345.8 crore in the same quarter of FY24.
The bank’s gross non-performing assets (GNPA) declined to 2.72 per cent in the September quarter from 2.89 per cent in June.
Similarly, net NPA declined to 0.475 per cent from 0.51 per cent in the previous quarter. In the past 12 months, the bank’s stock has gained nearly 30 per cent, outperforming the benchmark Nifty 50 index, which has a 12-month performance of about 17.5 percent.
