Dena Bank Q1 net loss at Rs 279 crore

Public sector Dena Bank today reported a net loss of Rs 279.35 crore during the first quarter ended June 30 2016 of the current fiscal due to higher provisioning and contingencies.
The bank had posted a profit of Rs 15.16 crore in the corresponding period of the previous fiscal.
Total income decreased for the quarter to Rs 2,907.35 crore, as against Rs 2,914.87 crore in the corresponding quarter of the previous fiscal, the bank said in a regulatory filing.
Dena Bank said its gross non-performing assets (NPAs) or bad loans, as a percentage of gross advances as of June 2016, rose to 11.88 per cent, as against 6.20 per cent a year ago. In value terms, they were Rs 9,636.32 crore versus Rs 4,840.70 crore respectively.

Net NPAs rose to 7.65 per cent (Rs 5,911.14 crore) of net advances, against 4.24 per cent (Rs 3,231.48 crore).
Increased NPAs led to higher provisioning of Rs 666.85 crore, compared to Rs 324.75 crore in the year-ago period.
Banks are required to keep aside a higher amount to guard against loans turning bad as per Reserve Bank's asset quality review norms, in an exercise to clean up balance sheets of the lenders.
The Dena Bank scrip closed 3.32 per cent higher at Rs 37.35 on the BSE.