State-owned Oriental Bank of Commerce (OBC) today posted 21% decline in net profit to Rs 265 crore for the fourth quarter ended March 31.
The bank had posted net profit of Rs 334 crore for the same quarter of the previous fiscal.
However, total income of the bank increased to Rs 4,564.53 crore during the quarter from Rs 3,532.13 crore in the same period a year ago, OBC said in a filing to the BSE.
The bank has proposed a dividend of Rs 7.90 per share for FY2012.
For the entire fiscal ended March 31, 2012, the net profit of the bank also slipped by 32% to Rs 1,141.56 crore from Rs 1,502.8 crore in the previous fiscal.
At the same time, total income improved to Rs 17,055.13 crore during the fiscal from Rs 13,047.8 crore in FY11.
Meanwhile, the bank announced cut in its lending rate in line with other lenders.
The bank has reduced base rate or minimum lending rate by 0.15% from 10.65% to 10.50% effective from May 14, OBC said in a statement.
Base rate is the benchmark rate below which a bank cannot lend. With the reduction in the base rate, all kinds of loans would be cheaper by at least 0.15%.
Following the Reserve Bank's decision to cut key interest rate by 0.5% to 8% in its annual credit policy earlier this month, several banks including SBI, IDBI Bank and Punjab National Bank have reduced both lending and deposit rates.
