Indian Bank reports Q4 loss of Rs190 cr

Indian Bank posted a net loss of Rs190 crore for the fourth quarter of financial year 2018-19, against a net profit of Rs132 crore in the same period last year. Operating profit of the bank improved marginally to Rs1,245 crore (Rs1,164 crore).

Total income of the bank witnessed a slight increase at Rs5,537 crore (Rs4,954 crore), while interest income climbed to Rs4,968 crore from Rs4,464 crore earlier.
Total provisions and contingencies for the March 2019 quarter was higher at Rs1,639 crore (Rs1,546 crore). Gross non-performing assets (GNPA), a key indicator of asset quality, deteriorated during the quarter ended March 2019 to Rs13,353 crore (Rs11,990 crore), while net non-performing assets (NNPA) rose to Rs6,793 crore (Rs5,960 crore) as on March 2019.
However, in percentage terms, GNPA improved to 7.37 per cent (7.11 per cent), while NNPA improved marginally to 3.81 per cent (3.75 per cent).
“Fresh slippages, on sequential basis, have come down drastically during the second half of the financial year,” said Padmaja Chunduru, managing director, Indian Bank. During the March 2019 quarter, fresh slippages of the bank stood at Rs505 crore,  against Rs1,670 crore recorded during the December 2018 quarter. The bank’s fresh slippages for the September 2018 quarter was Rs2,250 crore.
“This is proof that the bank has got a handle over fresh slippages, which is the first step to improved asset quality,” Chunduru added.
The bank’s total income for the full fiscal increased by 8 per cent to Rs21,068 crore as of March 2019 (Rs19,519 crore in the previous year), while interest income rose 12 per cent to Rs19,185 crore (Rs17,114 crore).
Net profit on a year-on-year basis fell to Rs322 crore in March 2019 from Rs1,259 crore in March 2018 .
The higher net profit last year, however, was on account of asset sale worth Rs500 crore and recovery from two big accounts.
Karur Vysya Bank’s Q4 net up 18.7% at Rs60 crore
Karur Vysya Bank reported an 18.7 per cent increase in its Q4FY19 net profit at Rs60 crore against Rs50.6 crore in the previous quarter, although its net interest income (NII) was down 3.7 per cent at Rs619.2 crore against Rs643 crore, YoY.
Its gross NPA stood at 8.79 per cent, while net NPA was at 4.98 per cent, QoQ.
The company's other income was up at Rs272.4 crore versus Rs208.6 crore.