Oriental Bank of Commerce has dipped 5.2% to Rs 254, falling over 8% from intra-day high, after reporting a lower-than-expected net profit Rs 308 crore for the quarter ended March 2013 (Q4) due to higher provisioning and tax outgo. The state-owned bank had profit of Rs 265 crore in a year ago quarter.
Net interest income or NII (interest earned minus interest expended) grew 13.6% at Rs 1,213 crore against Rs 1,068 crore in the corresponding quarter of previous fiscal.
Analysts on an average had expected NII of Rs 1,442 crore and profit of Rs 387 crore.
“Total provisioning, including bad loans provision increased by 42% to Rs 759 crore from Rs 534 crore, while tax expenses jumped three-fold to Rs 120 crore against Rs 45 crore in the previous year quarter,” Oriental Bank of Commerce said in a statement.
The bank’s gross non performing assets (NPA) have increased to 3.21% from 3.17%, while Net NPA to 2.27% from 2.21% on year-on-year basis.
The stock opened at Rs 270 and hit a high of Rs 277 on NSE before the announcement of the results. The counter has seen huge trading activity with a combined 3.04 million shares changing hands till noon deals against an average sub 2 million shares that were traded daily in past two weeks on NSE and BSE.
Net interest income or NII (interest earned minus interest expended) grew 13.6% at Rs 1,213 crore against Rs 1,068 crore in the corresponding quarter of previous fiscal.
Analysts on an average had expected NII of Rs 1,442 crore and profit of Rs 387 crore.
“Total provisioning, including bad loans provision increased by 42% to Rs 759 crore from Rs 534 crore, while tax expenses jumped three-fold to Rs 120 crore against Rs 45 crore in the previous year quarter,” Oriental Bank of Commerce said in a statement.
The bank’s gross non performing assets (NPA) have increased to 3.21% from 3.17%, while Net NPA to 2.27% from 2.21% on year-on-year basis.
The stock opened at Rs 270 and hit a high of Rs 277 on NSE before the announcement of the results. The counter has seen huge trading activity with a combined 3.04 million shares changing hands till noon deals against an average sub 2 million shares that were traded daily in past two weeks on NSE and BSE.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%