Mumbai: Syndicate Bank Ltd on Tuesday reported a profit for the December quarter compared to a loss in the same quarter last year, owing to lower provisioning and higher other income.
Net profit for the quarter was Rs93.56 crore as compared to a loss of Rs119.67 crore a year ago. Three analysts polled by Bloomberg had forecast a net profit of Rs344.80 crore.
Net interest income (NII), or the core income a bank earns by giving loans, decreased 8.23% to Rs1,391.34 crore from Rs1,516.04 crore last year. Other income increased to Rs985.95 crore from Rs551.07 crore in the same period last year, a rise of 78.92%.
Gross non-performing assets (NPAs) rose 5.55% to Rs16,948.08 crore at the end of the December quarter from Rs16,056.73 crore in the September quarter. On year-on-year basis, it jumped 76.49% from Rs9,602.80 crore.
Provisions and contingencies dropped 9.19% to Rs784.74 crore in the quarter from Rs864.14 crore a quarter ago. On a year-on-year basis, it lost 8.73% from Rs859.77 crore.
As a percentage of total loans, gross NPAs rose to 8.69% at the end of the December quarter from 7.72% in the previous quarter and 4.61% in the year-ago quarter.
Net NPAs rose to 5.63% in the December quarter from 5.03% in the previous quarter and 3.04% in the same quarter last year.
Syndicate Bank shares closed down at Rs66.95 on the BSE, down 3.39% from its previous close, while India’s benchmark Sensex index lost 0.70% to 27,655.96 points.