Karnataka Bank has tanked nearly 8% at Rs 96.40 in early morning deals on the BSE, after reporting a sharp 75% year-on-year (yoy) decline in net profit at Rs 28.95 crore for the quarter ended September 30, 2013 (Q2) due to higher provisioning towards non-performing assets (NPAs). The private sector bank had profit of Rs 117 crore during the same quarter year ago.
The bank’s net interest income grew 22% to Rs 285 crore from Rs 233 crore in the year-ago period.
“The bank’s provisions went up 5.5 times to Rs 127 crore in the second quarter, compared to Rs 23 crore in the corresponding period last year. Net NPAs stood at Rs 593 crore, up from Rs 464 crore in the year-ago period,” Karnataka Bank said in a statement.
The ratio of net NPAs stood at 2.25% against 2.08% a year ago, it added.
The stock opened at Rs 98.55 and touched high of Rs 99.80 so far. A combined around 120,000 shares change hands on the counter on BSE and NSE.
The bank’s net interest income grew 22% to Rs 285 crore from Rs 233 crore in the year-ago period.
“The bank’s provisions went up 5.5 times to Rs 127 crore in the second quarter, compared to Rs 23 crore in the corresponding period last year. Net NPAs stood at Rs 593 crore, up from Rs 464 crore in the year-ago period,” Karnataka Bank said in a statement.
The ratio of net NPAs stood at 2.25% against 2.08% a year ago, it added.
The stock opened at Rs 98.55 and touched high of Rs 99.80 so far. A combined around 120,000 shares change hands on the counter on BSE and NSE.