Dhanlaxmi Bank slides 5% as Q1 provisions jump 3-fold YoY to Rs 37 crore

The lender's provisioning for bad loans and contingenices spiked to Rs 37.02 crore in Q1FY21 as against Rs 9.27 crore a year ago. However, it was lower from previous quarter's Rs 56.89 crore

Shares of Dhanlaxmi Bank slumped 5 per cent to Rs 12.3 apiece on the BSE on Tuesday after the bank's June quarter net profit tanked 69 per cent on a yearly basis to Rs 6.09 crore. It had logged a profit of Rs 19.84 crore in the corresponding quarter of the previous fiscal. 

Interest income was down to Rs 236.65 crore in the quarter under review from Rs 240.43 crore reported in the year-ago period. Besides, its total income increased to Rs 278.62 crore from Rs 256.75 crore in the year-ago period, the lender said.

The lender's provisioning for bad loans and