)
Public sector lender Indian Bank has posted a decrease of 15.4% in net profit at Rs 292.12 crore for the quarter ended March 31, 2013, as compared to Rs 345.41 crore for the same period of previous fiscal.
The total income grew by 15.3% to Rs 4,022.46 crore for the fourth quarter of the fiscal ended March 31, 2013, as against Rs 3,488.02 crore posted during the corresponding period of previous fiscal year.
The percentage of net Non Performing Asset (NPA) stood at 2.26 during the quarter as against 1.33 in the same quarter of previous fiscal year.
The net NPA was Rs 2,384.29 crore for the quarter compared to Rs 1,196.83 crore for the same period last year. The percentage of gross NPA was 3.33 as against 2.03 during the same quarter previous year. The gross NPA was Rs 3,565.46 crore compared to Rs 1,850.77 crore during the same period last year.
T M Bhasin, chairman and managing director, Indian Bank commented that the drop in net profit was mainly due to higher provising to the tune of around Rs 390 crore, while for the whole year it was Rs 704 crore towards pension, gratuity fund and provision towards NPA.
Total provision ratio continues to be at 60.13%, though in absolute terms it was increased from Rs 400 crore for the whole year, said Bhasin.
On NPA, he said the Bank started the year in January with NPA of Rs 3,180 crore and added Rs 1,306 crore, but Rs 921 crore was recovered during the last quarter. As on today Gross NPA was at Rs 3,565 crore.
The company set a target to bring down the gross NPA to less than 3% from the current level of 3.33% and net NPA to less than 2% from 2.26%.
