Don’t miss the latest developments in business and finance.

Canara Bank tumbles on dismal Q4 performance

Image
Capital Market
Last Updated : Jun 25 2020 | 2:05 PM IST

Canara Bank slumped 5.44% to Rs 103.50 after the bank reported net loss of Rs 3,259.33 crore in Q4 March 2020 as against net loss of Rs 551.53 crore in Q4 March 2019.

Total income rose 1.6% to Rs 14,222.39 crore in Q4 March 2020 over Rs 14,000.43 crore in Q4 March 2019. Pre-tax loss stood at Rs 3,334.51 crore in Q4 March 2020 compared with pre-tax loss of Rs 2,550.04 crore incurred in Q4 March 2019. The Q4 result was announced after market hours yesterday, 24 June 2020.

Provisions and contingencies slipped 2.68% to Rs 5,375.38 crore in Q4 March 2020 over Rs 5,523.50 crore in Q4 March 2019. The provision coverage ratio of the bank was at 75.86% as on 31 March 2020.

Gross non-performing assets (NPAs) stood at Rs 37,041.15 crore as on 31 March 2020 as against Rs 36,644.97 crore as on 31 December 2019 and Rs 39,224.12 crore as on 31 March 2019. The ratio of gross NPAs to gross advances stood at 8.21% as on 31 March 2020 as against 8.36% as on 31 December 2019 and 8.83% as on 31 March 2019. The ratio of net NPAs to net advances stood at 4.22% as on 31 March 2020 as against 5.05% as on 31 December 2019 and 5.37% as on 31 March 2019.

Non-Interest Income (NII) jumped 16.8% to Rs 2,175 crore as at Q4 FY20 over Q4 FY19. The bank has opened 76.38 lakh accounts under Pradhan Mantri Jan Dhan Yojana (PMJDY) and mobilised Current Account-Savings Account (CASA) deposits of Rs 2874 crore as at March 2020. As on 31 March 2020, the bank has 6,329 number of branches (Rural: 1,826, Semi Urban: 2,004, Urban: 1,226 & Metro: 1,273 and 8,850 number of ATMs).

In the wake of COVID-19 pandemic, 97% of the bank's branches were operational during the nationwide lockdown period. The total number of e-transactions were at 23.94 crore with an amount of Rs 5,16,217 crore during the lockdown. The bank accelerated Business Correspondent (BC) services with 119 lakh transaction & Rs 3,792 crore business during 31 March 2020 to 15 June 2020. It introduced CANARA CREDIT SUPPORT as part of Emergency Credit Line Facilities to COVID-19 affected customers. Loans worth Rs 1,571 crore has been disbursed to 73,031 accounts under MSME so far. It has also unveiled Guaranteed Emergency Credit Line (GECL) for eligible MSME customers with loans worth Rs 2,755 crore disbursed to 1,77,343 accounts.

Canara Bank is a state-owned commercial bank with headquarters in Bangalore. The Government of India held 78.52% stake in the bank as of 31 March 2020.

Powered by Capital Market - Live News

Also Read

First Published: Jun 25 2020 | 10:14 AM IST

Next Story