GST Officials conduct Searches at 3 RBL Bank Offices in Maharashtra; Shares drop 3%

The private sector lender revealed that Maharashtra State GST officials searched three of its offices under Section 67 of the Maharashtra Goods and Services Tax (MGST) Act, 2017.

“The proceedings are ongoing, and the Bank is fully cooperating in providing data as per the request placed,” RBL Bank stated in a regulatory filing.

The bank claimed that the processes are underway and that it is fully working with authorities in supplying the needed information.

RBL Bank reported an 86% year-on-year (YoY) fall in net profit to Rs.32.63 crore in the third quarter of FY25, mostly due to higher provisions. Net profit fell by 85% on a sequential basis.

The gross non-performing asset (NPA) ratio increased marginally to 2.92% as of December 31, 2024, up from 2.88% in the preceding quarter and 3.12% a year before. The net NPA ratio decreased to 0.53% from 0.79% in September 2024 and 0.80% in December 2023.

Gross NPAs reached Rs.2,701 crore on December 31, 2024, up from Rs.2,581.08 crore the previous quarter. Net NPAs decreased to Rs.481.64 crore from Rs.697.51 crore during the same period.

Provisions nearly doubled to Rs.1,189 crore in Q3 FY24, up from Rs.458 crore the previous year. The bank took conservative provisions of Rs.414 crore for its Joint Liability Group (JLG) portfolio, increasing NPA coverage to 85%.

RBL Bank Ltd’s shares closed at Rs.155.20, down Rs.3.10, or 1.96%, on BSE.