Oriental Bank of Commerce (OBC) has reported a net loss of Rs 486.20 crore for the first quarter ended June due to lower income and higher provisioning for bad loans.
The bank had posted a net profit of Rs 100.69 crore in the April-June quarter of the previous fiscal.
Total income also fell to Rs 5,204.45 crore for the quarter under review from Rs 5,397.92 crore in the year-ago period.
On asset front, challenges persisted during the quarter, as gross non-performing assets (NPAs) rose to 14.83 per cent of gross advances, against 11.45 per cent a year ago.
Net NPAs also rose to 9.56 per cent of net advances as of June 2017, against 8.11 per cent a year ago.
The rise in bad loans proportion led to higher provisioning of Rs 1,591.48 crore for the quarter ended June 2017 against Rs 1,147.49 crore in the year-ago period.
Shares of OBC closed 7.09 per cent down at Rs 117.90 on the BSE.
via OBC posts Rs 486 cr net loss as NPA provisioning soars | Business Line
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