IDFC Bank Q4 profit falls 76% to Rs 419 mn as bad loan provisions surge

Private sector lender IDFC Bank Ltd on Tuesday reported a 76 per cent plunge in its quarterly profit, hurt by a jump in provisions to cover bad loans.

Net profit came in at Rs 419.3 million ($6.3 million), for the quarter ended March 31, compared with Rs 1.76 billion a year ago, IDFC Bank reported.

Gross bad loans as a percentage of total loans stood at 3.31 per cent at end-March, compared with 5.62 per cent in the preceding quarter and 2.99 per cent a year ago.

Provisions and contingencies surged to Rs 2.42 billion in the quarter, from Rs 48 million in the year-earlier quarter.