United Bank of India Q1 loss at Rs211 crore
New Delhi: State-owned United Bank of India (UBI) on Saturday reported a net loss of Rs211.46 crore during the first quarter ended June, on rise in non-performing assets (NPAs) and higher provisioning.
The bank had registered a net profit of Rs38.32 crore in the June quarter of previous fiscal. Total income of the bank during the reported quarter was marginally up at Rs2,852.61 crore as against Rs2,819.37 crore year ago, the bank said in a regulatory filing.
Bank’s bad loan proportion rose substantially as gross NPAs rose to 17.17% of the gross advances by end June from 14.29% as on 30 June 2016. Value wise, it stood at Rs12,164.90 crore against Rs10,116.13 crore during the two periods compared. Net NPA proportion hit 11.10% of net advances by end of first quarter of this fiscal (Rs7,269.66 crore) as against 9.85% of net loans by June 2016 (Rs6,579.28 crore).
The provisions to cover bad loans and contingencies increased to Rs758.35 crore for the first quarter of 2017-18, from Rs275.26 crore a year ago. The Kolkata-headquartered lender said its total deposits increased by 7.26% to Rs1,25,305 crore from Rs1,16,820 crore in the year-ago period.