Canara Bank posts worse-than-expected fall in Q2 profit at Rs 260 crore

Analysts, on average, had expected a net profit of Rs 331 crore: Thomson Reuters data

Canara Bank Ltd reported a 27 percent fall in second-quarter profit on lower interest income.

Net profit fell to Rs 260 crore in the quarter ended Sept 30 from Rs 357 crore a year earlier, the country's eighth-biggest state-run lender by assets said on Friday. 

Analysts, on average, had expected a net profit of Rs 331 crore, according to Thomson Reuters data.

Gross bad loans as a percentage of total loans stood at 10.51 percent at end-September, compared with 10.56 percent a quarter earlier and 9.81 percent a year ago.

Interest earned in the quarter fell 3 percent to  Rs 10,058 crore.