State Bank of Travancore saw its net profit plunge 73 per cent in the first quarter of this fiscal from the year-ago level as more standard assets went under.
Gross non-performing assets (NPAs) grew 51.77 per cent and net NPAs rose to 68.39 per cent.
Effective steps are being taken to achieve substantial reduction in NPA levels, a bank spokesman said.
Full activation of asset-tracking centres is one of the major strategies being adopted to prevent further slippages in asset quality.
Total income remained flat year-on-year and ‘other income’ fell by 12.68 per cent even as expenses rallied under various heads.
Employee costs rose by 15 per cent and operating expenses by 12 per cent, which brought down operating profit by 33 per cent.
In comparison, tax expenses sat comparatively light from the year-ago level, down by as much as 49 per cent.
But this was not enough to prevent the slide in net profit.