Allahabad Bank logs Q1 profit of Rs 29 crore

State-owned Allahabad Bank today reported a net profit of Rs 28.84 crore for the first quarter ended June of the current fiscal.
There was a net loss of Rs 564.96 crore on bank's balance sheet during the corresponding April-June quarter of 2016-17.
On a sequential basis, the lender's June quarter profit was lower as compared to Rs 111.16 crore net profit in the preceding January-March quarter.
This sequential fall has been attributed to the higher allocation to cover for bad loans.
Total income during the quarter under review fell to Rs 4,968.57 crore as against Rs 5,122.91 crore a year earlier as earnings from corporates as well as retail lending came down.

The gross non-performing assets (NPAs) or bad loans, as a percentage of gross advances, hit 13.85 per cent as on June 30, 2017 against 12.33 per cent as at end-June 2016.

In absolute-value, gross NPAs were Rs 21,032.42 crore as on June 2017, up from Rs 19,208.62 crore by June 2016.
Net NPAs, however, were only slightly higher at 8.96 per cent against 8.69 per cent. It valued at Rs 12,868.66 crore by end of June, against Rs 12,976.43 crore same period year ago.
Thus, the Kolkata-headquartered lender parked aside a higher Rs 1,686.70 crore as a coverage for bad assets for first quarter 2017-18, from Rs 1,574.59 crore for June quarter 2016-17.

Allahabad Bank stock closed 1.67 per cent down at Rs 64.65 a unit on the BSE.