IOB shares drop over 6% on disappointing Q3 performance

Indian Overseas Bank (IOB) shares today plunged over 6 per cent as the company reported widening of net loss to Rs 1,425.06 crore for the December quarter.
The scrip of the state-run firm tumbled 5.20 per cent to settle at Rs 23.70 on BSE. During the day, it lost 10.4 per cent to Rs 22.40 - its 52-week low.
On NSE, shares of the company dipped 6.2 per cent to end at Rs 23.45.
Volume-wise, 9.84 lakh shares of the company were traded at BSE and over 73 lakh shares changed hands at NSE during the day.
Indian Overseas Bank today reported widening of net loss to Rs 1,425.06 crore for the December quarter on the back of higher provisioning against bad loans.

The bank had posted a net loss of Rs 516.03 crore in the same quarter last fiscal.

On account of increased provisions for domestic and overseas advances including provision made for asset quality review, as per the RBI direction, resulted in net loss, IOB said in a statement.
Total income of the bank declined to Rs 6,445.78 crore during the quarter under review from Rs 6,647.45 crore in the same period a year ago.
Gross NPAs, as a percentage of total advances, rose to 12.64 per cent from 8.12 per cent in the same quarter a year ago.
Net NPAs went up to 8.32 per cent compared with 5.52 per cent in the year-ago period.