United Bank of India has dipped over 8% at Rs 34.55 after reporting a net loss of Rs 490 crore for the quarter ended September 30, 2013 due to higher provisioning for bad loans. The state-run lender had earned a profit of Rs 145 crore in the corresponding period of last year.
Provisions and contingencies increased to Rs 987 crore in July-September period from Rs 259 crore a year earlier.
The bank’s gross bad loan ratio deteriorated sharply, by 364 basis points year-on-year, to 7.52% at the end of September, 2013. The net non-performing asset (NPA) ratio also increased to 5.39% at the end of the second quarter from 1.95% in the corresponding period of last year.
Net interest income, or the difference between interest income and interest expense, fell by almost 15% yoy at Rs 517 crore during the recently concluded quarter, United Bank said in a statement.
The stock opened at Rs 35.30 and touched low of Rs 33.05 on BSE. A combined around 666,000 shares have changed hands on the counter so far on both the exchanges.
Provisions and contingencies increased to Rs 987 crore in July-September period from Rs 259 crore a year earlier.
The bank’s gross bad loan ratio deteriorated sharply, by 364 basis points year-on-year, to 7.52% at the end of September, 2013. The net non-performing asset (NPA) ratio also increased to 5.39% at the end of the second quarter from 1.95% in the corresponding period of last year.
Net interest income, or the difference between interest income and interest expense, fell by almost 15% yoy at Rs 517 crore during the recently concluded quarter, United Bank said in a statement.
The stock opened at Rs 35.30 and touched low of Rs 33.05 on BSE. A combined around 666,000 shares have changed hands on the counter so far on both the exchanges.