IDFC First Bank posts net loss in Q1FY20

Private sector lender IDFC First Bank reported a net loss of ₹617.35 crore in the quarter ended June 30, 2019 as against a net profit of ₹181 crore a year ago.

“This was primarily due to additional provisioning for two identified stressed Corporate Loans to a Housing Finance Company and a Financial Services company (recently downgraded by credit rating agencies), taking the provision coverage on these accounts to 75 per cent,” the lender said in a release late on Wednesday evening, adding that the provisions on these accounts is adequate and it does not expect to take any more provisions on this account in the near future.

Provisioning during the first quarter of 2019-20 increased to ₹1,280 crore, as against ₹33.99 crore made in the June quarter of the last fiscal. Its gross non-performing assets stood at 2.66 per cent of gross advances as on June 30, 2019 as compared to 3.24 per cent a year ago while net NPAs were 1.35 per cent at the end of the first quarter this fiscal from 1.63 per cent a year ago.

The bank said that the asset quality in the retail loan business remains stable and the rest of the portfolio continues to perform normally, with no major concerns being witnessed in the rest of the loan book.


No comments:

Post a Comment

  Useful links for Bankers
   * Latest DA Updates
   * How to recover Bad loans/NPA Acs
   * Latest 11th BPS Updates
   * Atal Pension Yojana (APY)
   * Tips while taking charge as Manager
   * Software used by Banks in India
   * Finacle Menus, Shortcuts & Commands
   * Balance Inquiry Number of all Banks
   * PSU Banks result for Q3FY19
   * Private Banks result for Q3FY19
   * Pradhan Mantri Awas Yojana (PMAY)

Important keywords

Contact Form


Email *

Message *