Canara Bank posts Rs 4,860 crore loss in Q4 as NPA provisions jump 3-fold
New Delhi: State-owned Canara Financial institution on Friday reported a web lack of Rs four,859.77 crore for the final quarter of 2017-18 because of elevated provisioning for unhealthy loans.
The financial institution had clocked a web revenue of Rs 214.18 crore within the corresponding January-March quarter of previous fiscal 2016-17.
The financial institution raised its provisioning for non-performing property (NPAs) to Rs eight,762.57 crore throughout the January-March quarter, up by almost 200 % % from Rs 2,924.08 crore in the identical interval of earlier fiscal, as unhealthy property ballooned, in response to a regulatory submitting by the financial institution.
For entire 2017-18, the financial institution suffered a web lack of Rs four,222.24 crore in contrast with a web revenue of Rs 1,121.92 crore within the earlier fiscal.
Complete revenue of the financial institution throughout the quarter ended March 2018 fell to Rs 11,555.11 crore from Rs 12,889.20 crore.
In full yr 2017-18, complete revenue stood at Rs 48,194.94 crore in opposition to Rs 48,942.04 crore in previous yr, the financial institution stated.
Asset-wise, there was fall in high quality as gross non-performing property (NPAs) rose to 11.84 % of gross advances by the tip of March 2018 from 9.63 % by end-March 2017.
In absolute worth, the gross NPAs have been at Rs 47,468.47 crore from Rs 34,202.04 crore.
Internet NPA ratio stood at 7.48 % (Rs 28,542.40 crore) from 6.33 % (Rs 21,648.98 crore).
The NPA provisioning for the complete yr rose to Rs 14,882.70 crore from Rs 7,437.77 crore in 2016-17.
In view of fraud reported throughout the yr in sure banks in respect of 1 gems and jewelry borrower group accounts , the financial institution has labeled these accounts as non-performing asset and offered absolutely, Canara Financial institution stated.
Moreover, on the NPA divergence for the yr 2016-17, the financial institution stated there was a spot of Rs Three,248.50 crore in gross NPAs with the financial institution reporting it to be Rs 34,202.04 crore and the Reserve Financial institution assessing it at Rs 37,450.54 crore.
Internet NPA divergence was of Rs 1,847.28 crore. The financial institution reported it to be Rs 21,648.98 crore and the RBI assessed it at Rs 23,496.26 crore.
Thus there was a resultant divergence in provisioning to the tune of Rs 1,401.22 crore in 2016-17.
Nevertheless, taking the NPA divergence under consideration for 2016-17, the financial institution adjusted for a web lack of Rs 279.30 crore in opposition to its initially reported web revenue of Rs 1,121.92 crore.
Canara Financial institution shares closed zero.92 % down at Rs 246.35 on BSE.