Oriental Bank Q3 net plunges 91% as provisions jump

Provisions jump 58% to Rs 885 crore from Rs 561 crore a year earlier

Oriental Bank of Commerce today reported a 91% fall in quarterly net profit as provisions for bad loans rose sharply and due to a one-off adjustment.

Oriental Bank reported a net profit of Rs 19.56 crore for the quarter ended 31 December, 2014, down 91% from Rs 224 crore reported a year earlier.

Provisions jumped 58% to Rs 885 crore from Rs 561 crore a year earlier. Gross bad loans as a percentage of total loans rose to 5.43% in the December quarter from 4.74% in the previous quarter.

Shares were trading 7.9% down at Rs 288.35 at 12:59 pm.