Allahabad Bank reports Rs 486-cr loss on higher NPA, provisions

Non-interest income fell to Rs 412 cr against Rs 446 cr yearly

Higher provisions, non-performing assets and fall in interest income along with trading loss, pulled Allahabad Bank into red, as it reported a loss of about Rs 486 crore for the third quarter of the present financial year, against a net profit of Rs 164 crore in the same period last year.

The bank's provisions in the last quarter stood at nearly Rs 1,347 crore, against Rs 911 crore in the same period last year, an increase of nearly 48%.

Interest income of the bank fell to nearly Rs 4,619 crore, against Rs 4,941 crore in the same period last year a fall of nearly 7% over the same period last year.

The non-interest income in Q3 of FY16 fell to Rs 412 crore , against Rs 446 crore in the same period last year, a fall of 8% over the same period last year. In the last quarter, the provisions for NPA increased manifold to Rs 1594 crore, against Rs 269 crore in the same period last year, an increase of about 493%.

In the last quarter the bank saw nearly 51% fall in trading profit, which stood at Rs 88 crore in the last quarter, against Rs 180 crore in the same period last year.

The net non-performing assets of the bank increased to Rs 6,308 crore in the last quarter, against Rs 5,578 crore in the same period last year, an increase of nearly 13%. Fresh NPA addition in the last quarter was Rs 3,128 crore, against Rs 1,078 crore in the same period last year.

The net NPA ratio of the bank in the last quarter stood at 4.23%, against 3.89% in the same period last year. The gross NPA ration stood at 6.40% in the last quarter, against 5.46% in the same period last year.

The net interest margin of the bank in the last quarter stood at 2.55%, against 3.27% in the same period last year.