Allahabad Bank post Q1 loss of Rs 565 cr

Allahabad Bank today reported a loss of Rs 564.9 crore for the first quarter ended June 30 on significant jump in provisions for bad loan.
The state-run bank had earned a net profit of Rs 146.8 crore in the April-June quarter of last fiscal.
Total income declined to Rs 5,122.9 crore as against Rs 5,396.4 crore in the same period last year, the bank said in its regulatory filing to the stock exchanges
Provision and contingencies nearly doubled to Rs 1330.7 crore from Rs 854.7 crore in the year-ago period.
As on June 30, the bank's gross non-performing assets (NPAs) increased to 12.33 per cent of advances, as against 5.29 per cent at the end of first quarter last fiscal.

Net non-performing assets also rose to 8.69 per cent as against 3.67 per cent as on June 30, 2015.

(REOPENS DCM65)
Besides, the board of the bank also approved raising of Rs 2,000 crore through bonds and QIP.
The board approved raising capital by way of preferential issue of shares aggregating up to Rs 500 crore to LIC or other financial institution or companies.
Besides, it also plans to raise Rs 500 crore through Qualified Institutional Placement (QIP).
It also proposes to raise Rs 1,000 crore from additional Tier I and Tier II bonds in one or more tranches.