State-owned Syndicate Bank today said its net losses have widened to Rs 1,281.77 crore during first quarter ended June of the current fiscal as bad loans rose.
Its loss in the corresponding April-June period of 2017-18 was at Rs 263.19 crore.
Its income also fell to Rs 5,637.51 crore during the June quarter of 2018-19, as against Rs 6,171.49 crore a year ago.
The bank said in a regulatory filing that its interest income fell to Rs 5,257.19 crore, from Rs 5,484.13 crore. Besides, there was significant fall in interest earned on balances with RBI and other inter bank funds.
The asset quality was dented further to 12.59 per cent of the gross non-performing assets (NPAs) or bad loans as on June 30, 2018 from 9.96 per cent a year ago. It was 11.53 per cent in the preceding quarter ended March.
Net NPAs too worsened to 6.64 per cent, from 6.27 per cent as on June 30, 2017 and 6.28 per cent by end March this year.
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In value terms, the gross NPAs stood at Rs 26,361.52 crore at June 30 this year, as against Rs 20,183.85 crore a year ago. Net NPAs were at Rs 13,010.80 crore vis-a-vis Rs 12,188.30 crore.
"Based on legal opinion given by an independent expert, pending issuance of final NCLAT order, an amount of Rs 100.86 crore recovered in an NPA account is considered as eligible credit for the calculation of NPA provision," Syndicate Bank said in the filing.
Due to rise in portion of bad loans, the bank parked aside a higher provisioning amount for NPAs at Rs 1,774.11 crore in June quarter, as against Rs 1,385.66 crore a year ago. Overall provisioning and contingencies were at Rs 2,326.82 crore, up from Rs 1,333.88 crore.
Stock of Syndicate Bank closed 2.65 per cent down at Rs 44.10 on BSE.