Oriental Bank of Commerce Q3 net profit down 8%
The bank had posted a net profit of Rs 354.22 crore for the October-December quarter of the previous fiscal.
"The decline in net profit is due to the increased provisioning for restructured advances and Rs 30 crore provisions for expected wage revision," OBC Chairman and Managing Director S L Bansal said here.
The bank has made a provision of Rs 78 crore towards restructured assets, he added.
The total provision during the quarter increased to Rs 603.83 crore compared to Rs 380.86 crore in the same quarter a year ago.
The bank's gross NPAs increased to 2.98 per cent at the end of the third quarter from 2.92 per cent in December, 2011.
Its net NPAs also rose to 2.14 per cent from 1.89 per cent in the same quarter of 2011-12.
However, the total income of the lender rose by 7.9 per cent to Rs 4,846.54 crore during the October-December period from Rs 4,491.76 crore in the same period last year.
Net interest income during the third quarter increased by 5.66 per cent to Rs 1,204 crore from Rs 1,140 crore against same period of the previous fiscal.
The net interest margin (NIM) of the bank stood at 2.84 per cent at the end of third quarter of the current fiscal.
Going forward, Bansal said, the NIM is expected to go up to 2.95-3 per cent in the fourth quarter.
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