Indian Overseas Bank Q3 loss widens
State-run Indian Overseas Bank on Wednesday reported widening of net loss to Rs.1,425.06 crore for the Dec quarter on the back of higher provisioning against bad loans. The bank had posted a net loss of Rs.516.03 crore in the same quarter last fiscal. On account of increased provisions for domestic and overseas advances including provision made for asset quality review, as per the Reserve Bank of India (RBI) direction, resulted in net loss, Indian Overseas Bank said in a statement.
Total income of the bank declined to Rs.6,445.78 crore during the quarter under review from Rs.6,647.45 crore in the same period a year ago. Gross non-performing assets (NPAs), as a percentage of total advances, rose to 12.64% from 8.12% in the same quarter a year ago. Net NPAs went up to 8.32% compared with 5.52% in the year-ago period. Total provisions, excluding for income tax, increased to Rs.1,896.06 crore as against Rs.1,183.04 crore in the same period last fiscal year.