Allahabad Bank narrows losses to Rs 732.81 cr in Q3

Kolkata, Feb 6 (IANS) State-run Allahabad Bank on Wednesday announced a net loss of Rs 732.81 crore for the quarter ended December 31, 2018, narrowing the net loss of Rs 1,263.79 crore reported for year ago period.

The lender, which is under the prompt corrective action (PCA) of the Reserve Bank of India (RBI), had reported a net loss of Rs 1,822.71 crore for the second quarter of the current fiscal.

The city-headquartered lender posted an operating profit of Rs 768.97 crore, down by 16.6 per cent year-on-year from Rs 922.17 crore in the corresponding quarter of the last fiscal. But the same increased by 44 per cent quarter-on-quarter from Rs 533.97 crore.

On a year-on-year basis, total income at Rs 4,756.88 crore during the period remained flat compared with Rs 4,755.33 crore in the year-ago quarter. It increased by nearly 8 per cent on the quarter-on-quarter basis from Rs 4,410.72 crore in the July-September period.

During the third quarter of FY19, gross non-performing assets (NPAs) increased on a quarter-on-quarter basis in absolute terms to Rs 28,218.79 crore from Rs 27,236.19 crore in the September quarter.

The net NPA was at Rs 10,865.26 crore in the third quarter , down from Rs 11,082.74 crore by the end of September quarter.

Gross NPA of the bank as a percentage of total loans was at 17.81 per cent by the end of December quarter against 17.53 per cent in the previous quarter. During the period under review, net NPA ratio at 7.70 per cent also decreased sequentially.

Provisions and contingencies were at Rs 1,495.34 crore, down substantially from Rs 2,413.46 crore in Q3FY18. At Rs 1,900 crore, provisions for NPAs decreased by 7 per cent year-on-year.