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Corporation Bank tumbles after weak Q4 earnings

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Capital Market
Last Updated : May 12 2014 | 11:51 PM IST

Corporation Bank fell 4.68% to Rs 287 at 10:05 IST on BSE after net profit declined 88.3% to Rs 41.57 crore on 8.6% growth in total income to Rs 5032.62 crore in Q4 March 2014 over Q4 March 2013.

The Q4 result was announced after market hours on Friday, 9 May 2014.

Meanwhile, the BSE Sensex was up 298.47 points, or 1.30%, to 23,292.70.

On BSE, so far 55,000 shares were traded in the counter, compared with an average volume of 19,560 shares in the past one quarter.

The stock hit a high of Rs 293 and a low of Rs 280.65 so far during the day. The stock hit a 52-week high of Rs 429.95 on 29 May 2013. The stock hit a 52-week low of Rs 220.10 on 24 February 2014.

The stock had outperformed the market over the past one month till 9 May 2014, rising 5.35% compared with 1.29% rise in the Sensex. The scrip had also outperformed the market in past one quarter, rising 20.10% as against Sensex's 12.85% rise.

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The mid-cap company has an equity capital of Rs 167.54 crore. Face value per share is Rs 10.

Corporation Bank's net profit declined 60.8% to Rs 561.72 crore on 15.7% growth in total income to Rs 19606.29 crore in the year ended 31 March 2014 (FY 2014) over the year ended 31 March 2013 (FY 2013). The bank's provisions and contingencies surged 79.3% to Rs 824.53 crore in Q4 March 2014 over Q4 March 2013.

Corporation Bank's ratio of gross non-performing assets (NPAs) to gross advances stood at 3.42% as on 31 March 2014 as against 3.08% as on 31 December 2013 and 1.72% as on 31 March 2013. The ratio of net NPAs to net advances stood at 2.32% as on 31 March 2014 as against 2.15% as on 31 December 2013 and as against 1.19% as on 31 March 2013.

The bank's Capital Adequacy Ratio (CAR) as per Basel III norms stood at 11.64% as on 31 March 2014 as against 11.89% as on 31 December 2013. The bank's provision coverage ratio stood at 52.9% as on 31 March 2014 as against 62.06% as on 31 March 2013.

The Government of India holds 63.33% stake in Corporation Bank (as per the shareholding pattern as on 31 March 2014).

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First Published: May 12 2014 | 10:08 AM IST

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