Union Bank of India Q1 net dives 30% at Rs 117 crore, bad loans rise

Net profit fell to Rs 117 crore for the three months ended June 30, from Rs 166 crore a year ago

The state-run Union Bank of India (UBI) reported nearly 30% fall in first-quarter net profit as provisions for bad loans remained high.

Net profit fell to Rs 117 crore ($18.27 million), for the three months ended June 30, from Rs 166 crore a year ago, the Mumbai-based bank said on Thursday.

Analysts on an average had expected the bank to report a net profit of Rs 195 crore, according to Thomson Reuters data.

As of end-June, gross bad loans as a percentage of total loans rose to 12.63% from 11.17% at the end of March, and 10.16% at end-June 2016.

($1 = Rs 64.0400)