Dhanlaxmi Bank reported a net loss of Rs 18.62 crore, during the three months ended September 30, as against a net profit of Rs 4.35 crore during the same period last year, due to higher provisions.
The Thrissur-based, old generation private sector lender provided R29.25 crore, as against a writeback of R5.31 crore last year. Net interest income for the quarter stood at R57.8 crore, down 15% from a year ago. While, Dhanlaxmi’s total income during the quarter fell by 18.2%, to R335.86 crore.
The bank’s net non-performing assets (NPAs) during the quarter shot up to Rs 188.3 crore, as against R17.14 crore last year. As a ratio of total assets, the bank’s net NPAs stood at 2.5% as against 0.17% during the same period last year.
Gross NPAs, on other hand, stood at R272.60 crore against R55.64 crore in the same quarter last year. As a ratio of total assets, gross NPAs stood at 3.57% as against 0.55% last year.
The bank has been in the news ever since Amitabh Chaturvedi, then managing director and chief executive officer, decided to quit the bank in February. Chaturvedi’s exit was soon followed by a lot of high profile resignation from the bank’s senior management. Ever since, Dhanlaxmi Bank has been trying its best to restructure itself and make itself more profitable.
Under MD & CEO PG Jayakumar, the bank has tried to consolidate its businesses, cut down on corporate lending and increase its retail presence with gold loans.