New Delhi: Jammu and Kashmir Bank on Saturday reported a net loss at Rs498.47 crore for the third quarter ended December 2016, mainly due to sharp jump in provisions for bad loans.
The bank had reported a net profit of Rs117.68 crore in the year-ago period. Its total income also decreased to Rs1,770.2 crore from Rs1,806.08 crore in the same period last fiscal, the bank said in a BSE filing.
The total provisions excluding income tax increased over threefold to Rs726.28 crore, as against Rs239.67 crore in the year-ago period. Gross NPA (non-performing assets) as a percentage of total advances rose significantly to 11.84%, from 6.81% a year earlier. The bank’s net NPA stood at 5.99%, from 2.60% at the end of December 2015.
In a separate filing, Jammu and Kashmir Bank said its board of directors have approved the proposal for further issue of equity shares of the bank up to a maximum of Rs250 crore (including the premium amount) on a preferential allotment basis to the government of Jammu and Kashmir, the promoter and majority shareholder of the bank, subject to approvals.