Dena Bank net loss widens over 2-fold to Rs 416 crore in Q2

Dena Bank net loss widens over 2-fold to Rs 416 crore in Q2

2 min read
Dena Bank net loss widens over 2-fold to Rs 416 crore in Q2

New Delhi, Oct 30 (PTI) State-owned Dena Bank Tuesday reported an over two-fold jump in its net loss to Rs 416.70 crore in the second quarter ended September 2018.

The bank had registered a net loss of Rs 185.02 crore in the same quarter of the previous fiscal.

Total income of the bank also fell to Rs 2,537.01 crore in the quarter under review from Rs 2,608.83 crore in the same period of 2017-18, the bank said in a regulatory filing.

The bank's asset quality was dented further during the quarter with the gross non-performing assets (NPAs) hitting 23.64 per cent of the net advances as on September 30, 2018 from 17.23 per cent in the same period a year ago.

Net NPAs too worsened at 11.7 per cent as against 10.61 per cent.

Thus, provisioning for bad loans was raised to Rs 724.05 crore during the September quarter of 2018-19 as against Rs 652.34 crore set aside for the second quarter of the previous fiscal.

The overall provisions and contingencies for July-September were at Rs 867.83 crore up from Rs 736.66 crore, Dena Bank said.

Additionally, the bank said the board of directors in its meeting held on September 24 recommended for amalgamation of Dena Bank with Bank of Baroda and Vijaya Bank.

Dena Bank also said it will continue the exposure to MSME borrowers to be classified as standard assets, where the dues between September 1, 2017 to December 31, 2018 are paid not later than 180 days from their respective original due dates.

"Accordingly, the bank has retained advances of Rs 124.27 crore as standard assets as on September 30, 2018 and is maintaining a standard asset provision of Rs 6.21 crore," it said.

Provision coverage ratio of the bank at end-September stood at 65.27 per cent.

Stock of Dena Bank closed 1.92 per cent down at Rs 15.90 apiece on BSE.

(This story was auto-published from a syndicated feed. No part of the story has been edited by The Quint.)

(The Quint is available on Telegram. For handpicked stories every day, subscribe to us on Telegram)

We'll get through this! Meanwhile, here's all you need to know about the Coronavirus outbreak to keep yourself safe, informed, and updated.

Liked this story? We'll send you more. Subscribe to The Quint's newsletter and get selected stories delivered to your inbox every day. Click to get started.

The Quint is available on Telegram & WhatsApp too, click to join.

Stay Updated

Subscribe To Our Daily Newsletter And Get News Delivered Straight To Your Inbox.

Join over 120,000 subscribers!