Friday, February 12, 2016

#Canara Bank Q3 net profit drops 87% to Rs 85 crore on higher provisions

Bangalore-based Canara Bank today reported a whopping 87 per cent drop in net profit at Rs 84.9 crore for the third quarter of 2015-16 on account of higher provisioning.Total provisions, excluding for income tax, made during the third quarter were Rs 1,428.85 crore as against Rs 841.33 crore in the year-ago period. The bank has reported fresh slippages of Rs 5400 crore during this quarter.

Q3 Highlights:

•    Operating Profit for the quarter stood at  1552 crore.
•    Total provisions increased to  1467 crore compared to  1141 crore last year, including provisions for NPAs at  1432 crore vis-à-vis Rs.952 crore last year.
•    Due to increased provisions, net profit for the quarter came down to  85 crore compared to  656 crore last year.
•    Net Interest Margin (NIM) (Domestic) was at 2.29% and NIM (Global) at 2.16%.
•    Cost-income ratio marginally improved to 49.46% from 49.84% last year.