1. BoB tumbles over 8 per cent; mcap dips by Rs 2,937 cr on weak Q4 show

BoB tumbles over 8 per cent; mcap dips by Rs 2,937 cr on weak Q4 show

Bank of Baroda shares today ended over 8 per cent lower, wiping-out Rs 2,936.85 crore from its market valuation, after the company reported a whopping net loss of Rs 3,230-crore for the three months to March.

By: | Mumbai | Published: May 16, 2016 6:53 PM
The bank had reported a net profit of Rs 598.35 crore for the quarter ended March 31, 2015. (Source: Reuters) The bank had reported a net profit of Rs 598.35 crore for the quarter ended March 31, 2015. (Source: Reuters)

Bank of Baroda shares today ended over 8 per cent lower, wiping-out Rs 2,936.85 crore from its market valuation, after the company reported a whopping net loss of Rs 3,230-crore for the three months to March.

After plunging 9.77 per cent to Rs 139.80 in intra-day trade, shares of the company finally ended at Rs 142.20, down 8.23 per cent on BSE.

At NSE, it tanked 8.25 per cent to close at Rs 142.30.

Led by the decline in the stock, the company’s market valuation fell by Rs 2,936.85 crore to Rs 32,765.15 crore.

On the volume front, 41.12 lakh shares of the company changed hands at BSE and over 3 crore shares were traded at NSE during the day.

The company had announced its results post market hours on Friday.

The bank had reported a net profit of Rs 598.35 crore for the quarter ended March 31, 2015.

The bank had reported a loss of Rs 3,342.04 crore in the preceding December quarter, which is the highest quarterly loss by a bank.

The record loss in two consecutive quarters comes after the bank management had publicly stated, while announcing the December quarter numbers, that all was hunky-dory on the asset quality front as they had front-loaded the provisions for the two quarters at a go.

In the December quarter, the nation’s second largest lender in terms of assets had reported a whopping Rs 3,342 crore in net loss – the highest in the country’s banking history and had expressed confidence that NPA pain was behind it which was cheered by investors.

Provisions zoomed nearly six-fold to Rs 6,857 crore in the March quarter from Rs 1,817 crore on the back of the gross NPA ratio moving up to 9.99 per cent from 3.72 per cent.

The PSU lender reported a loss of Rs 5,067 crore for the full year as against a profit of Rs 3,911.73 crore a year ago. Had it not been for a write-back of Rs 1,055 crore, the losses would have been much more higher.

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