DCB Bank Q2 net profit down 21 pc at Rs 65 cr

By: |
October 30, 2021 6:03 PM

Total income during July-September period of 2021-22 was up slightly at Rs 967 crore from Rs 959.33 crore in same period of 2020-21, DCB Bank said in a regulatory filing.

The bank had registered a net profit of Rs 82.29 crore in the same quarter of the previous fiscal year.The bank had registered a net profit of Rs 82.29 crore in the same quarter of the previous fiscal year.

Private sector DCB Bank on Saturday reported 21 per cent fall in its net profit at Rs 64.94 crore in quarter ended September 2021 of this fiscal.
The bank had registered a net profit of Rs 82.29 crore in the same quarter of the previous fiscal year.

Total income during July-September period of 2021-22 was up slightly at Rs 967 crore from Rs 959.33 crore in same period of 2020-21, DCB Bank said in a regulatory filing.

However, bank’s income from interest was down at Rs 869.27 crore in the reported quarter, as against Rs 878.45 crore in year-ago period.
There was dent on bank’s asset quality, as gross non-performing assets (NPAs) were up 4.68 per cent of the gross advances by end of September 2021 from 2.27 per cent in year-ago period. It was down from 4.87 per cent by end of June 2021.

Likewise, net NPAs (or bad loans) too rose to 2.63 per cent from 0.83 per cent.

In absolute terms, gross NPAs were worth Rs 1,284.93 core as against Rs 573.70 crore, while net NPAs were of Rs 706.95 crore, up from Rs 205.77 crore.
Citing the September 2020 interim order of the Supreme Court, that directed banks that accounts which were not declared NPA till August 31, 2020 shall not be declared as NPA till further orders, it said the bank has not classified any account which was not NPA as of August 31, 2020, as NPA for the period ended September 30, 2020.

“However, if the bank had classified borrower accounts as NPA after August 31, 2020, the bank’s proforma gross NPA ratio and proforma net NPA ratio would have been 2.39 per cent and 0.92 per cent, respectively for the period ended September 30, 2020.” Provisions for bad loans and contingencies for the quarter, however, were down at Rs 86.33 crore as against Rs 101.45 crore.

The bank said it holds a contingency provision of Rs 78.46 crore during the quarter ended September 30, 2021 towards further likely impact of Covid-19 on standard restructured and stressed assets.

“As on September 30, 2021, in addition to this contingency provision mentioned, the bank also holds floating provision amounting to Rs 115.07 crore, besides provisions for standard assets and specific non-performing assets,” DCB Bank said.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1How Financial Inclusion is playing a vital role in the Banking Sector
2Market competition, lower credit offtake push banks to pursue credit growth at lower yields
3City Union Bank to start pushing non-gold loan advances by FY22-end