IDBI Bank Q1 loss widens, asset quality improves
IDBI Bank on Wednesday said its loss for the June quarter widened to Rs 3,801 crore from Rs 2.410 crore a year ago, along with a decline in interest income.
The lender said its net interest income was at Rs 1,458 crore for the first quarter of fiscal year 2020 as against Rs 1,639 crore last year. The banks’ net interest margin was at 2.13 per cent compared with 2.17 per cent.
IDBI Banks’ gross NPA ratio improved to 29.12 per cent as on June 30 against 30.78 per cent as on June 30, 2018.
Net NPA ratio improved to 8.02 per cent from against 18.76 per cent as on June 30, 2018 and 10.11 per cent as on March 31, 2019.
Net NPAs reduced to Rs 10,963 crore from Rs. 29,981 crore last year.
Provision Coverage Ratio (PCR-including technical write-offs) improved to 87.79 per cent from 64.45 per cent.
Recovery from technically write off accounts improved to Rs 79 crore in against Rs 69 crore. First Time NPAs reduced by 55 per cent from Rs 7,799 crore in Q1-2019 to Rs 3,486 crore.
Uco Bank Q1 result, net loss narrows
State-owned UCO Bank on Thursday reported narrowing of its net loss to Rs 601.45 crore for the first quarter ended June 30, as bad loan provisioning declines.
The bank had posted a net loss of Rs 633.88 crore in the corresponding April-June period of the previous financial year.
Its total income in the June 2019 quarter rose to Rs 4,446.61 crore as against Rs 4,360.88 crore in the year-ago quarter, the bank said in a regulatory filing.
The bank’s asset quality witnessed slight improvement, with the gross non-performing assets (NPAs) standing at 24.85% of the gross advances as at the end of June 2019, as against 25.71% a year ago.
Net NPAs stood at 8.98%, down from 12.74%. In terms of absolute value, the gross NPA was Rs 29,431.60 crore, compared with Rs 29,786.41 crore in the year-ago period. Net NPAs were Rs 8,781.97 crore by the end of the first quarter this fiscal, as against Rs 12,558 crore a year ago.
Thus, there was a decline in provisions for bad loans for the quarter at Rs 1,374.97 crore, against Rs 2,038.33 crore in the corresponding period a year ago. The overall provisions and contingencies stood at Rs 1,802.89 crore, compared with Rs 1,781.28 crore a year ago.
City Union Bank Q1 net profit rises 15%
Private sector lender City Union Bank (CUB) has reported a 15 per cent increase in its net profit at ₹186 crore for the quarter ended June 30, 2019 as against ₹162 crore in a year-ago period.
Its operating profit grew 17 per cent at ₹351 crore as against ₹299 crore on the back of higher net interest income, which grew 11 per cent at ₹417 crore (₹375 crore ).
The other operating income rose 26 per cent at ₹163 crore (₹129 crore).
However, asset quality saw some set back with its gross NPA increasing to 3.34 per cent as of June this fiscal from 3.02 per cent in the previous year’s quarter. The net NPA increased to 1.89 per cent from 1.70 per cent during the same period.
Advances grew 14 per cent to ₹32,229 crore (₹28,215 crore as of June 2018), while total deposits went up by 16 per cent to ₹39,077 crore (₹33,597 crore).
CASA (current account savings account) increased by 14 per cent to ₹9161 crore from ₹8,038 crore and the CASA ratio stood at 23 per cent of total deposits.
The provision coverage ratio stood at 65 per cent as on June 30, 2019. The bank’s return on assets stood at 1.63 per cent during the first quarter of this fiscal.
Lakshmi Vilas Bank Q1 net loss widens
Central Bank of India back into profit in Q1
Central Bank of India returned to profit in the first quarter ended June 2019 aided by lower provisioning. The bank posted a net profit ₹118.33 crore for the three months ended 30 June, against a net loss of₹1,522.24 crore in the year-ago period.
Provisions during the quarter decreased 62.62% to ₹1,034.78 crore, from ₹2,768.22 crore in the year-ago quarter. During the January-March quarter, the bank had set aside ₹4,733.82 crore in provisions.
Net interest income, or the difference between interest earned on loans and that paid on deposits, increased 6.67% to₹1,790.19 crore during the first quarter, against ₹1678.18 crore in the corresponding period last year.
Other income, including core fee income, rose more than three times to ₹7,79.11 crore in the first three months of the current financial year, from ₹212.95 crore a year ago.
Gross non-performing assets (NPAs), as a percentage of total advances, were at 19.93% in the June quarter, compared with 19.29% in the March quarter, and 22.17% a year ago.
Post-provision, the net NPA ratio was at 7.98%, against 7.73% during the January-March quarter and 10.58% in the year-ago quarter.
Indian bank Q1 result, net profit up 74%
Indian Bank on Monday posted a 74.55 per cent jump in its net profits for the April-June quarter. According to a top official, it recorded a net profit of Rs 365.37 crore.
Indian bank recorded net profits at Rs 209.31 crore during the corresponding quarter the previous year.
For the year ending March 31, 2019 the net profits were at Rs 321.95 crore.
Declaring the financial performance, Indian Bank managing director and Chief Executive Officer (CEO) Padmaja Chunduru said it is one quarter posting strong results.
“The bank has posted a healthy growth in all segments,” she told reporters.
On the total income for the April-June quarter, she said it grew to Rs 5,832.11 crore from Rs 5,131.96 crore registered the same period last year.
For the year ending March 31, 2019 total income of the bank was at Rs 21,067.70 crore.
On the 74.55 per cent jump in the net profits, Chunduru said they have been the highest strong point of this quarter.
“There is a 75 per cent increase (in net profits). This is because of arrest in fresh slippages, increase in recovery.
I think, we are back on track. We have been working on arresting fresh slippages,” she said.
According to her, the slippages were Rs 1,035 crore for the quarter under review period.
She said the bank has set a target of bringing down the slippages to around Rs 800-Rs 900 crore in the coming quarters.
“There is growth in RAM (retail, agriculture and micro, small and medium enterprises segments) with 25 per cent in retail, 25 per cent in agriculture and 10 per cent in micro, small and medium enterprises (MSMEs).
The overall capital adequacy ratio is at 13.62 per cent. This is what gives us more comfort and confidence. We are building assets in a very prudent way”, she said.
Noting that the bank witnessed over 300 per cent rise in transactions made through mobile banking, she said the bank planned to ramp up transactions made through the digital platform.
