Indian Overseas Bank (IOB) has tanked over 7% to Rs 62.20, also its 52-week low on BSE, on reporting a sharp 89% year-on-year (yoy) drop in its net profit at Rs 59 crore for the quarter ended March due to higher provisioning bad loans. The state-owned bank had profit of Rs 529 crore in a year ago quarter.
Net interest income (NII) too, declined 3.3% yoy to Rs 1,296 crore, while the provisioning for bad loans increased by over three-fold to Rs 1,187 crore from Rs 388 crore.
The bank’s gross non-performing assets (NPA) ratio has increased substantially to 4.02% from 2.74%, while net NPA almost doubled to 2.5% from 1.35% during the recently concluded quarter.
The stock opened at Rs 67.75 and touched a high of Rs 68.50 on BSE before announcement of the results. A combined 6.41 million shares have changed hands on the counter till late noon deals on BSE and NSE.
Net interest income (NII) too, declined 3.3% yoy to Rs 1,296 crore, while the provisioning for bad loans increased by over three-fold to Rs 1,187 crore from Rs 388 crore.
The bank’s gross non-performing assets (NPA) ratio has increased substantially to 4.02% from 2.74%, while net NPA almost doubled to 2.5% from 1.35% during the recently concluded quarter.
The stock opened at Rs 67.75 and touched a high of Rs 68.50 on BSE before announcement of the results. A combined 6.41 million shares have changed hands on the counter till late noon deals on BSE and NSE.
