Allahabad Bank shares tank 6.5% after Q1 earnings

Shares of Allahabad Bank today plunged 6.5 per cent after the company reported a net loss of Rs 1,944.37 crore in the first quarter ended June 30.

The stock slumped 6.32 per cent to end at Rs 40 on BSE. During the day, it tumbled 8 per cent to Rs 39.25.

At NSE, shares of the company dropped 6.54 per cent to close at Rs 39.95.

The company's market valuation dipped Rs 283.89 crore to Rs 4,219.11 crore on BSE.

In terms of equity volume, 16.76 lakh shares of the company were traded on BSE and over two crore shares changed hands at NSE during the day.

State-owned Allahabad Bank today reported a net loss of Rs 1,944.37 crore for the June quarter due to higher provisioning for bad loans.

The bank had registered a net profit of Rs 28.84 crore in the corresponding April-June period of 2017-18.

Total income of the bank also fell to Rs 4,794.04 crore as against Rs 4,968.57 crore mainly due to fall in income from other sources.

The bank's gross bad loans worsened by the end of June quarter with gross non-performing assets (NPAs) hitting a high of 15.97 per cent of the gross advances as against 13.85 per cent as on June 30, 2017.

In value terms, the gross NPAs stood at Rs 25,067.55 crore by end-June 2018, up from Rs 21,032.42 crore in the year-ago period.