UCO Bank Q1 net loss expands to Rs 663 crore on bad assets

UCO bank had reported net loss of Rs 440.56 crore in the corresponding April-June quarter of 2016-17

UCO Bank on Wednesday said its net losses widened to Rs 663.02 crore for the first quarter ended June 30, as asset quality deteriorated in the period.

The bank had reported a net loss of Rs 440.56 crore in the corresponding April-June quarter of 2016-17.

The lender increased provisioning for bad loans by 28 per cent to Rs 1,204.25 crore during the June quarter.

While, the bank had kept aside Rs 942.73 crore towards bad loans provisioning for June 2016 quarter.

Asset quality worsened with gross non-performing assets hitting 19.87 per cent of the gross advances as on June 30, from 17.19 per cent at the end of June 2016. Gross NPAs were 17.12 per cent as on March 31, 2017.

Net NPAs or bad loans also rose to 10.63 per cent of the net advances as on end-June this year, from 10.04 per cent a year ago. The net NPAs stood at 8.94 per cent as on March 31, 2017.

Segment-wise, the Kolkata-headquartered bank reported fall in its interest income to Rs 3,766.58 crore during April-June period of 2017-18, compared to Rs 4,189.64 crore in the same period a year earlier.

Income from investments also came down to Rs 1,337.86 crore for the quarter under review, as against Rs 1,538.73 crore same period last year.

Shares of UCO Bank closed 1.04 per cent down at Rs 33.20 on BSE today.