 "PNB shares tumble nearly 14% after net profit declines in March quarter")
Shares of Punjab National Bank (PNB) on Thursday tumbled nearly 14 per cent after the company reported over 60 per cent decline in standalone net profit for the quarter ended March 2022.
The stock tanked 13.60 per cent to end at Rs 28.60 apiece on the BSE. During the day, it tumbled 13.89 per cent to its 52-week low of Rs 28.50.
On the NSE, it plummeted 12.53 per cent to settle at Rs 28.95 apiece.
In volume terms, 171.82 lakh shares were traded on the BSE and over 20.34 crore shares on the NSE during the day.
On Wednesday, state-owned Punjab National Bank posted a 66 per cent decline in standalone net profit at Rs 202 crore for the quarter ended March 2022 due to a higher amount parked towards provisioning, even as the NPA levels declined.
The bank had posted a net profit of Rs 586 crore in the same quarter a year ago.
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Total standalone income during the January-March quarter stood at Rs 21,095 crore, down from Rs 21,386 crore in the same period of 2021-21, PNB said in a regulatory filing.
For the full fiscal 2021-22, standalone net profit rose to Rs 3,456.96 crore against Rs 2,021.62 crore in FY21, the bank said.
The asset quality showed improvement, with the Gross Non-Performing Assets (GNPAs) falling to 11.78 per cent of the gross advances as of March 2022, from 14.12 per cent a year ago.
Net NPAs or bad loans too declined to 4.8 per cent from 5.73 per cent.
However, the lender kept a higher provision for bad loans and contingencies for the fourth quarter of FY22 at Rs 4,851.47 crore. It stood at Rs 3,540.32 crore in the year-ago period.
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