Indian Overseas Bank (IOB) posted a net loss of ₹919 crore for the quarter ended June 2018, mainly on account of higher provisioning against non-performing assets (NPAs).
Provisions and contingencies for the June quarter rose to ₹2,051 crore from ₹1,276 crore for the same period last year, a 61 per cent increase in provisioning on a year-on-year (y-o-y) basis, according to a statement.
Gross NPA for the quarter rose by 25.64 per cent of the gross advances to ₹38,146 crore against ₹35,453 crore for the year-ago period.
Gross advances for the quarter fell by ₹1,478 crore to ₹1,48,760 crore against ₹1,50,238 crore during the same period last year. The bank’s policy to avoid exposure in stressed assets is the reason for the reduction in gross advances, the release said.
Total deposits on y-o-y basis rose by ₹2,420 crore at ₹2,13,168 crore for the June quarter against ₹2,10,748 crore in the previous year.