BackOriental Bank of Commerce Q1 profit drops 29%
Profit for the first quarter ended June was at Rs257.84 crore, compared with Rs364.54 crore in the year-ago quarter
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Mumbai: Government-owned lender Oriental Bank of Commerce reported a 29.27% drop in its first quarter net profit, on lower net interest income.
Profit for the first quarter ended June was at ₹ 257.84 crore, compared with ₹ 364.54 crore in the year-ago quarter.
Ten analysts polled by Bloomberg were expecting the bank to post profit of ₹ 226.4 crore for the quarter.
Net interest income, or the difference between interest earned on loans and that paid on deposits, rose 6.9% to ₹ 1,328.51 crore from ₹ 1,242.75 crore in the same quarter last year, the bank said in its filing with the exchanges.
Other income dropped 22.83% to ₹ 453.93 crore from ₹ 588.20 crore in the year-ago quarter.
Gross non-performing assets (NPAs), as a percentage of total loans, rose to 5.85% from 4.33% a year ago.
Provisions rose 6.66%, to ₹ 577.65 crore from ₹ 541.58 crore in the year-ago quarter.
Post provisioning, the net NPA ratio of the bank stood at 3.76% against 3.11% in the year-ago period.
At 12.18am, the stock of the bank was trading at ₹ 163.60, up 3.97% from its previous close, while the benchmark Sensex index gained 0.93% to 27,819.20 points.
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