Karnataka Bank December quarter profit falls 29.30% to Rs68.52 crore
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Mumbai: Karnataka Bank Ltd on Monday said its net profit for the December quarter fell 29.30% due to higher provisioning.
Net profit for the quarter stood at Rs68.52 crore as compared to Rs96.91 crore a year ago. Two analysts polled by Bloomberg had forecast a net profit of Rs91.40 crore.
Net interest income (NII) or the core income a bank earns by giving loans increased 23.47% to Rs 376.51 crore from Rs304.93 crore. Non-interest income increased to Rs133.59 crore from Rs132.72 crore, a rise of 0.66%.
Gross non-performing assets (NPAs) rose 16.05% to Rs1,560.23 crore at the end of the December quarter from Rs1,344.50 crore in the September quarter. On a year-on-year basis, the figure jumped 31.49% from Rs1,186.55 crore.
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Provisions and contingencies jumped 59.40% to Rs100.60 crore in the quarter from Rs63.11 crore a year ago.
As a percentage of total loans, gross NPAs stood at 4.3% at the end of the December quarter as compared to 3.64% in the previous quarter and 3.56% in the year ago quarter.
Net NPAs were at 2.99% in the December quarter compared to 2.63% in the previous quarter and 2.41% in the same quarter last year.
Shares of Karnataka Bank lost 0.25% to close at Rs119.80 per share on Monday on the BSE, while the benchmark Sensex rose 0.31% to close at 27,117.34 points.