Private sector South Indian Bank (SIB) on Thursday reported a net loss of Rs 187 crore for the September quarter, hit by higher bad loans.
The Kerala-based lender had posted a net profit of Rs 65.10 crore in the same period a year ago. Sequentially, there was a net profit of Rs 10.31 crore in the first quarter ended June of this fiscal.
Total income during the July-September quarter of 2021-22 also dropped to Rs 1,746.03 crore from Rs 2,115.71 crore in the same period of the previous fiscal, South Indian Bank said in a regulatory filing.
Interest income too was lower at Rs 1,646.59 crore during the quarter from Rs 1,898.84 crore in year-ago period.
On the asset quality front, the gross non-performing assets (NPAs or bad loans) stood at 6.65 per cent of the gross advances at the end of the quarter, as against 4.87 per cent by September-end 2020. However, the NPA ratio improved when compared to 8.02 per cent in the June quarter of this fiscal.
In value terms, the gross NPAs stood at Rs 3,879.60 crore, up from Rs 3,182.16 crore in the year-ago period.
Net NPAs were also up at 3.85 per cent (Rs 2,178.49 crore) from 2.59 per cent (Rs 1,655.39 crore).
Consequently, the bank's provisions for bad loans and contingencies were raised to Rs 361.86 crore, as against Rs 303.37 crore set aside in Q2 FY21.
Stock of South Indian Bank closed 0.48 per cent up at Rs 10.52 apiece on BSE.
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