Vijaya Bank targets Rs 10 bn profit in FY19; income rises to Rs 39 bn in Q1

During the quarter, the provision coverage ratio jumped to 61.18 per cent from 56 per cent in the same period a year before

Government-owned Vijaya Bank expects net profit of Rs 10 billion this financial year. On the back, it says, of healthy growth in advances and a sharp fall in accretion of bad loans coupled with strong recovery from delinquent accounts.

The Bengaluru-headquartered lender reported a 43.3 per cent drop in net profit at Rs 1.44 bn for the quarter ending June, the first one (Q1) of this financial year. This was due to raising the provisioning on bad loan accounts, to ring-fence its balance sheet from future slippage.

During the quarter, the provision coverage ratio (PCR) jumped to 61.18 per cent from 56