Vijaya Bank Q2 net drops 20% to Rs 115 cr

Net interest income increased 20% to Rs 692 cr

Public sector lender Vijaya Bank reported a 20 per cent dip in profits to Rs 115 crore for the July-September quarter, on higher provisioning for bad loans to corporates. The Bengaluru-based bank had reported profit of Rs 143 crore for the corresponding quarter last year. Net interest income, calculated as interest earned and expended, grew 20 per cent to Rs 692.55 crore from Rs 579 crore.

The bank made total provisions of Rs 283 crore, with nearly Rs 272 crore towards non performing assets (NPAs). Gross NPAs were up at Rs 3,459.90 crore against Rs 2,239 crore in the corresponding period last year. Net NPAs also rose sharply to Rs 2,441.88 crore as against Rs 1,461.95 crore.

Gross NPAs as a percentage of advances increased to 3.98 per cent and net NPAs to 2.84 per cent. The bank had registered gross NPAs of 2.85 per cent and net NPAs of 1.88 per cent in the second quarter last year, it said in a statement.