Union Bank posts Q4 net loss of Rs 2,583 cr on higher provisions

Public sector Union Bank of India today reported a standalone net loss of Rs 2,583 crore for fourth quarter ended March 2018, hit by higher provisions and contingencies and loss in investment.

The bank said this loss in March quarter included investment depreciation of Rs 1,120 crore.

The bank had registered a net profit of Rs 108 crore in the corresponding January-March quarter of 2016-17.

Provisions for the quarter were upped at Rs 5,667.92 crore as against Rs 2,444.12 crore in the same period a year earlier, it said in a regulatory filing.

There were slippages to the tune of Rs 10,043 crore in the last quarter of 2017-18, the bank said.

Total income during the period also fell to Rs 9,596.86 crore as against Rs 9,771.05 crore a year ago.

For entire 2017-18, the bank suffered a net loss of Rs 5,247.37 crore against a net profit of Rs 555.22 crore in 2016-17.

Income for the year, however, was marginally up at Rs 37,737.86 crore from Rs 37,624.58 crore in 2016-17.

On consolidated basis for the year, there was net loss of Rs 5,212.47 crore against net profit of Rs 572.64 crore. Income was up at Rs 38,413.65 crore from Rs 38,246.95 crore.

On the asset front, bank's gross non-performing assets (NPAs) rose to 15.73 per cent of gross advances by the end of March 2018 from 11.17 per cent in the year-ago period.

In absolute term, gross NPAs were Rs 49,369.93 crore against Rs 33,712.28 crore.

Net NPA ratio stood at 8.42 per cent (Rs 24,326.31 crore) against 6.57 per cent (Rs 18,832.10 crore).

The bank said its total deposit grew from Rs 3,78,392 crore as on March 31, 2017 to Rs 4,08,502 crore as on March 31, 2018 -- showing a growth of 8 per cent.

Bank's global advances grew by 4 per cent to Rs 3,13,860 crore by March 2018 from Rs 3,01,684 crore a year ago. Domestic advances increased by 5.9 per cent to Rs 2,88,336 crore from Rs 2,72,238 crore a year ago.

Stock of Union Bank closed 4.57 per cent down at Rs 87.65 apiece on BSE today.