Friday, November 6, 2015

#Vijaya Bank Q2 net slips 20% due to higher provisioning

Vijaya Bank has reported a 19.80 per cent drop in its July-September quarter net profit at Rs 115.29 crore, mainly due to higher provisioning.The provision coverage ratio was at 58.28 per cent at the end of September quarter.

The bank had registered a net profit of Rs 143.75 crore in the corresponding quarter last year. Net slippage of the bank was around Rs 600 crore in this quarter and most of it came from infrastructure and large corporates.

Total income of the bank stood at Rs 3,202.89 crore for the quarter ended September 30, 2015 from Rs 3,253.75 crore in the corresponding quarter a year ago.

Even though there is increase in the operating profit, but because of the increased provision net profit has come down. This quarter we had to make a provision of Rs 283 crore, out of that Rs 272 crore was only on account of NPA .

CASA of the bank increased from Rs 23,348 crore as of September 30, 2014 to Rs 25,311 crore this year, up by 8.41 per cent. The percentage of CASA deposits also improved to 20.53 per cent from 18.95 per cent.

Other Q2 Highlights (Y-o-Y)
  • Advances up by 10.80%
  • Net interest income up by 19.67%
  • Other income up by 14.18%
  • Operating Profit up by 30.35%
  • Provision Coverage Ratio at 58.28%
  • CRAR (Basel III) at 10.83%