Due to heavy provisioning, Syndicate Bank has posted a loss of ₹263.19 crore in the first-quarter (Q1) of 2017-18 compared to a profit of ₹79.13 crore in the same period last year.
However, the bank’s operating profit rose 26 per cent at ₹980.20 crore (₹774.41 crore in the same period last year).
The bank's total income was also down 3.85 per cent at ₹6,171.49 crore compared with ₹6,419.12 crore recorded in the same period last year.
In Q1, the bank’s gross non-performing asset (NPA) stood at ₹20,183.85 crore compared with ₹15,434.26 crore.
Percentage of gross NPAis 9.96 per cent compared with 7.53 per cent same period last year.
Net NPA stood at ₹12,188.30 crore in Q1 compared with ₹10,051.44 crore last year. Percentage of net NPA is 6.27 against 5.04 posted last year.
On the provisions and contingencies, the bank’s overall provisions for the quarter ended June 30, 2017, increased by 79 per cent to ₹1,243 crore from ₹696 crore during the quarter ended June 30, 2016, mainly due to increase in fresh slippages to NPA.
Net interest income (NII) grew 8 per cent to ₹1,601 crore from ₹1,479 crore registered last year.
Non-interest income saw a growth of 24 per cent y-o-y. NIM (Domestic) improved from 2.51 per cent in Q1 FY 2016-17 to 2.85 per cent in Q1 FY 2017-18.
Deposits/Advances Cost of deposits (global) fell to 5.28 per cent (6.07 per cent in the same period last year). Cost to income ratio stood at 57.16 per cent (61.90 per cent last year).
CASA share to total domestic deposits stood at 30.13 per cent (26.28 per cent).
The bank’s total business increased to ₹4,75,313 crore against ₹4,68,764 crore during the corresponding period of last year.
The domestic business was at ₹4,05,939 crore compared with ₹4,07,099 crore last year.
Deposits increased to ₹2,72,578 crore from ₹2,63,915 crore in the same period last year. While the advances stood at ₹2,02,735 crore against ₹2,04,849 crore last year.