1. Uco Bank Q3 net loss more than doubles at Rs 1,016 crore, gross NPAs touch 20.64%

Uco Bank Q3 net loss more than doubles at Rs 1,016 crore, gross NPAs touch 20.64%

Public sector lender Uco Bank’s net loss widened over two-fold to Rs 1016.43 crore for the quarter ended December 31, 2017, from Rs 437.09 crore for the same period a year ago.

By: | Kolkata | Published: February 10, 2018 3:15 AM
uco bank, uco bank profit, uco bank turnover, uco bank loss, uco bank net loss Bank’s gross non-performing assets in absolute terms rose 14.43% y-o-y at Rs 25,382.40 crore during the period under review. On q-o-q basis, gross NPAs were up 3.88% from Rs 24,434.95 crore in the September quarter.

Public sector lender Uco Bank’s net loss widened over two-fold to Rs 1016.43 crore for the quarter ended December 31, 2017, from Rs 437.09 crore for the same period a year ago. The whopping rise in net loss during the December quarter was on the back of a 58.5% year-on-year fall in operating profit. The Kolkata-based bank’s asset quality worsened further in the October-December period on both year-on-year and quarter-on-quarter basis. Gross non-performing assets (NPAs) in absolute term rose 14.43% y-o-y at Rs 25,382.40 crore during the period under review. And, on q-o-q basis, gross NPAs were up by 3.88% from Rs 24,434.95 crore in the September quarter this fiscal, according to a stock exchange filing on Friday. Notably, the Reserve Bank of India (RBI) had initiated the prompt corrective action (PCA) on the bank in May last year in view of the high NPA and negative return on assets.

In the disclosure to the exchanges on Friday, Uco Bank said it was permitted by the RBI to apportion the provision of Rs 439.78 crore required to be made in two large corporate accounts in the third and fourth quarters of this fiscal. “Out of the above provision requirement, bank made a provision of Rs 220.28 crore during the third quarter,” it informed. During the third quarter, provision and contingencies stood at Rs 1385.38 crore, up by 4.5% y-o-y. The lender’s non-performing loan provisioning coverage ratio was 62.29% as on December 31, 2017.

During the September-December period last year the bank’s operating profit saw more than 58% y-o-y fall at Rs 368.95 crore compared with Rs 888.96 crore in the same period previous year, with its total income declining by 23.5% y-o-y at Rs 3721.93 crore. Net interest income (NII) also decreased by close to 16% y-o-y to Rs 819.91 crore from Rs 975.76 crore in the corresponding period last fiscal.

Gross NPA as a percentage of total loans rose to 20.64% in the December quarter this fiscal from 17.18% during the same period previous fiscal. In September quarter this fiscal gross NPA ratio was at 19.74%. Net NPA ratio also rose to 10.90% from 8.99% in the year-ago period. Net NPA ratio had stood at 9.98% at the end of second quarter this fiscal.

Calculate your income tax post budget 2018 through this Income Tax Calculator, get latest news on Budget 2018 and Auto Expo 2018. Like us on Facebook and follow us on Twitter.

  1. No Comments.

Go to Top