New Delhi: State-run Indian Bank on Thursday reported 59 percent decline in net profit to Rs 131.98 crore for the quarter ended 31 March, as provisions for bad loans nearly tripled.
The bank had reported a profit of Rs 319.70 crore in the same period of 2016-17.
Total income during the quarter, however, rose to Rs 4,954.20 crore, as against Rs 4,601.89 crore in the same period a year ago, Indian Bank said in a regulatory filing.
Although the gross non-performing assets (NPAs) during the quarter declined marginally to 7.37 percent from 7.47 percent, the provisions for bad loans increased three-fold.
In absolute terms, gross NPAs were at Rs 11,990.14 crore, up from Rs 9,865.13 crore in the year-ago period.
The bank made provisions and contingencies of Rs 1,546.33 crore for the quarter, more than double from Rs 806.91 crore in the year-ago period.
Provisioning for bad loans nearly tripled to Rs 1,772.03 crore during the quarter as against Rs 608.42 crore earlier.
Net NPAs also declined to 3.81 percent as against 4.39 percent a year ago.
Despite the decline in profit, the bank's board recommended a dividend of Rs 6 per share of face value Rs 10 per, that is 60 percent to the shareholders.
For the entire 2017-18, the bank's profit declined 11 percent to Rs 1,258.99 crore as against Rs 1,405,67 crore in the previous year.
The total income also declined to Rs 19,519.48 crore, as against Rs 19,531.91 crore in 2016-17.
Firstpost is now on WhatsApp. For the latest analysis, commentary and news updates, sign up for our WhatsApp services. Just go to Firstpost.com/Whatsapp and hit the Subscribe button.
Updated Date: May 10, 2018 16:04:15 IST