The bank had reported a net profit of Rs 55.82 crore in the same period last year. In the December quarter, the mid-sized lender had reported a net loss of Rs 662.85 crore.
"Losses are mainly due to increase in the provisions for NPAs on account of asset quality review and fresh slippages," bank's chairman and managing director Ashwani Kumar told reporters here today.
Provisions for NPAs rose 200 per cent to Rs 1,094.24 crore from Rs 365.93 crore in the year-ago quarter, while total provisions stood at Rs 560.08 crore as against Rs 321.98 crore.
The bank's net interest margins slipped to 2.12 per cent from 2.22 per cent.
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Kumar sees some more hit on the margin going ahead due to shift to MCLR-based lending rates but expects. The NIM to marginally improve to 2.25 per cent in FY17.
Gross non-performing assets increased to 9.98 per cent from 5.45 per cent while net NPA stood at 6.35 per cent as against 3.82 per cent.
Fresh slippages in the quarter stood at Rs 1,635.89 crore out of which Rs 323 crore came from the AQR.
"I think, except one or two accounts which may give troubles, we do not have any lumpy accounts now," Kumar said, adding the focus will on recovery going ahead.
During the year, the bank sold Rs 442 crore of bad loans to asset reconstruction companies.
Deposits increased to Rs 1,17,431 crore while advances grew to Rs 85,811 crore. The bank is targeting credit growth of 15 per cent and deposit growth of 13 per cent.
The Dena bank counter closed 4 per cent down at Rs 29.50 on the BSE today as against the bemchmark closing 0.60 per cent up. The bank's market capitalisation stood at a paltry Rs 1,967.36 crore.