New Delhi: State-owned Vijaya Bank reported 34.1$ increase in net profit to Rs154.55 crore in the second quarter of the current fiscal despite higher provisioning for bad loans.
The bank’s net profit in the July-September quarter of 2015-16 was Rs115.29 crore. Its total income rose to Rs3,516.57 crore during the second quarter of 2016-17 as against Rs3,202.89 crore from the same period a year ago, Vijaya Bank said in a regulatory filing.
Provisions for bad loans and contingencies were increased by the bank to Rs389.82 crore for the quarter under review, 42.5% higher than Rs273.47 crore in the same period a year ago.
Asset quality of the bank slipped as gross non-performing assets (NPAs) or the bad loans rose to 7.07% of the gross advances as of September 2016, as against 3.98% a year earlier. Likewise, net NPAs too increased to 5.10% of the net advances, from 2.84%. Vijaya Bank stock jumped 8.93% to Rs 43.9 a share on BSE.