 "Axis Bank falls over 5% on weak Q2 results")
Axis Bank has plunged 7% to Rs 490 on BSE in early morning trade after the bank reported a sharp 83% year on year (YoY) drop in net profit to Rs 319 crore for the quarter ended September 30, 2016 (Q2FY17), due to higher provisioning of bad loans. The private sector lender had posted a profit of Rs 1,916 crore in the same quarter last year.
Provisioning for bad loans in the September 2016 quarter was five-fold to Rs 3,623 crore compared with Rs 707 crore in the same quarter last fiscal.
Axis Bank's Gross non-performing loans (NPAs) rose to 4.17% in Q2FY17 from 1.38 % in Q2FY16. In quarter ended June 2016 (Q1FY17), its Gross NPAs were at 2.54%.
Net NPAs rose more-than-doubled to 2.02% in Q2FY17 from 0.48 % in Q2FY16, and 1.08% in Q1FY17.
Net interest income, the difference between interest earned and interest expended increased by 11% YoY to Rs 4,514 crore. Net interest margin, a key indicator of bank's profitability, declined 20 basis points on a YoY basis to 3.64%.
At 09:27 am, the stock was down 6.6% to Rs 494 on BSE. A combined 9.95 million shares changed hands on the counter on BSE and NSE so far.
Provisioning for bad loans in the September 2016 quarter was five-fold to Rs 3,623 crore compared with Rs 707 crore in the same quarter last fiscal.
Axis Bank's Gross non-performing loans (NPAs) rose to 4.17% in Q2FY17 from 1.38 % in Q2FY16. In quarter ended June 2016 (Q1FY17), its Gross NPAs were at 2.54%.
Net NPAs rose more-than-doubled to 2.02% in Q2FY17 from 0.48 % in Q2FY16, and 1.08% in Q1FY17.
Net interest income, the difference between interest earned and interest expended increased by 11% YoY to Rs 4,514 crore. Net interest margin, a key indicator of bank's profitability, declined 20 basis points on a YoY basis to 3.64%.
At 09:27 am, the stock was down 6.6% to Rs 494 on BSE. A combined 9.95 million shares changed hands on the counter on BSE and NSE so far.
