Bad loans pull down Canara Bank net profit by 87% in Q3
The Bangalore-based lender had posted a net profit of Rs 655.9 crore for the October-December quarter of 2014-15 fiscal. The bank's total income also fell to Rs 12,050.6 crore for the quarter under review from Rs 12,227.86 crore in the year-ago period, Canara Bank said in a regulatory filing to exchanges.
- Feb 12, 2016,
- Updated Feb 12, 2016 5:14 PM IST
State-run Canara Bank on Friday reported a 87 per cent drop in net profit at Rs 84.9 crore for the third quarter of 2015-16 on account of rise in bad loans.
The Bangalore-based lender had posted a net profit of Rs 655.9 crore for the October-December quarter of 2014-15 fiscal. The bank's total income also fell to Rs 12,050.6 crore for the quarter under review from Rs 12,227.86 crore in the year-ago period, Canara Bank said in a regulatory filing to exchanges.
The gross NPAs as a percentage of total advances rose to 5.84 per cent from 3.35 per cent in the same quarter a year ago.
Its net NPAs rose to 3.90 per cent from 2.42 per cent at the end of December 2014. Gross NPAs in absolute terms rose significantly to Rs 19,813.44 crore as compared to Rs 10,573.57 crore at the end of December 2014.
However, total provisions, excluding for income tax, made during the third quarter were Rs 1,428.85 crore as against Rs 841.33 crore in the year-ago period.
Operating profit declined to Rs 1,552.44 crore as against Rs 1,797.30 crore in the corresponding period. During the first three quarters of 2015-16, Canara Bank posted 47.7 per cent decline in profit at Rs 1,092.67 crore as compared to Rs 2,089.67 crore in the year-ago period. The bank's total income for the nine month period in the current fiscal stood at Rs 36781.22 crore as compared to Rs 35,871.08 crore in the same period of previous financial year.
State-run Canara Bank on Friday reported a 87 per cent drop in net profit at Rs 84.9 crore for the third quarter of 2015-16 on account of rise in bad loans.
The Bangalore-based lender had posted a net profit of Rs 655.9 crore for the October-December quarter of 2014-15 fiscal. The bank's total income also fell to Rs 12,050.6 crore for the quarter under review from Rs 12,227.86 crore in the year-ago period, Canara Bank said in a regulatory filing to exchanges.
The gross NPAs as a percentage of total advances rose to 5.84 per cent from 3.35 per cent in the same quarter a year ago.
Its net NPAs rose to 3.90 per cent from 2.42 per cent at the end of December 2014. Gross NPAs in absolute terms rose significantly to Rs 19,813.44 crore as compared to Rs 10,573.57 crore at the end of December 2014.
However, total provisions, excluding for income tax, made during the third quarter were Rs 1,428.85 crore as against Rs 841.33 crore in the year-ago period.
Operating profit declined to Rs 1,552.44 crore as against Rs 1,797.30 crore in the corresponding period. During the first three quarters of 2015-16, Canara Bank posted 47.7 per cent decline in profit at Rs 1,092.67 crore as compared to Rs 2,089.67 crore in the year-ago period. The bank's total income for the nine month period in the current fiscal stood at Rs 36781.22 crore as compared to Rs 35,871.08 crore in the same period of previous financial year.