Money & Banking

IDBI Bank net loss widens to Rs 2,410 cr in first quarter

Our Bureau Mumbai | Updated on August 14, 2018 Published on August 14, 2018

Loan loss provisions soar to Rs 4,603 crore from Rs 1,873 crore

IDBI Bank's net loss widened to Rs 2,410 crore in the first quarter of this fiscal against Rs 853 crore in the year-ago quarter due to a huge jump in loan loss provisions.

The net loss in the reporting quarter, however, is lower that the preceding quarter's net loss of Rs 5,663 crore.

The public sector bank, which is under RBI's prompt corrective action framework to nurse it back to health, saw its gross non-performing assets (GNPAs) rise to 30.78 per cent of gross advances as at June-end 2018 from 27.95 per cent as at March-end 2018.

India's largest life insurer Life Insurance Corporation of India is planning to up its stake in the bank from 7.98 per cent to 51 per cent.

Net interest income was up 17 per cent year-on-year (yoy) at Rs 1,639 crore (Rs 1,402 crore in the year-ago quarter). Other income was down 6 per cent at Rs 643 crore (Rs 683 crore).

Operating profit was up 28 per cent yoy to Rs 1,081 crore (Rs 843 crore). Loan loss provisions soared to Rs 4,603 crore (Rs 1,873 crore).

During the quarter, GNPAs increased by Rs 2,219 crore to Rs 57,807 crore. Deposits shrunk by Rs 8,036 crore to Rs 2,39,896 crore. Advances declined by Rs 11,941 crore to Rs 1,59,799 crore.

Published on August 14, 2018
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