Comments
State Bank of Travancore reported a 65.34 per cent dip in net profit in the September quarter from year-ago levels. But a reasonably good performance on expenditure control was neutralised by muted income.
The bank took cues from an RBI circular of 2001 to show provisions specifically against non-performing assets (NPAs) separated from the more general ‘provisions and contingencies’.
This is an effort aimed at providing greater transparency about the financial results, a top bank official told BusinessLine .
Not many public sector banks seem to have paid attention to this circular which is why this does not show up in their books.
Provisions against NPAs jumped 105 per cent during the quarter even as the bank was following these up with a tracking mechanism.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.