NEWS & ADVICE : HOME LOANS
Dena Bank net profit declines on higher provisions
By Joseph Samson
May 13, 2013
Print    Email    RSS   

The public sector lender, Dena Bank's net profit declines by over 50 per cent to Rs 126 crore in the fourth quarter of the current financial year. Higher provisioning for bad loans lowered the net profit.

During the fourth quarter, an interest reversal of Rs 62 crore led net interest income to decline by six per cent to Rs 562 crore, while other income was up by 12 per cent.

High cost of funds and low base rate lowered net interest margins (NIM) at 2.80 per cent from 3.21 per cent in the year-ago quarter. Mr. Ashwani Kumar, Chairman and Managing Director of Dena bank said, "We will try to reach NIM at around three per cent".

Provisions to cover bad loans rose 35 per cent to Rs 143 crore. Provisions for depreciation on investment tripled to Rs 98 crore.

As on March 31, 2013, year-on-year total advances jumped 16 per cent at Rs 57,159 crore, while deposits rose 26 per cent at Rs 97,207 crore.

Gross non-performing assets as a percentage of total advances rose to 2.19 per cent from 1.67 per cent in Q4FY12.

For the full-year, net profit increased by a meager seven per cent to Rs 810 crore in FY13 from Rs 803 crore in FY12.


 


(Comments Posted : 0) Post Your Comments
Show All Comments
COMPARE QUICKLY
 Select a product:
 

CALCULATE QUICKLY
 Select a product:
 

EDITORS' PICKS
Are fixed home loan rates actually...
NRI Home Loan: A friend for the non-residents
Complete Guide to the Home Loan Process in...
Banking Ombudsman: to the aid of the customer
Tax Planning for Working Women in India


PINJORE: CaℒL Giℛℒs In PiNjOrE 09915787550...
PINJORE: CaℒL Giℛℒ In PiNjOrE 09915787550...
how to gate my home loan certificate

NEWS THIS WEEK
Canara Bank earned a profit of 60%. Feb 6, 2015
New Branch of Laxmi Vilas bank at Vijayawada Jan 30, 2015
Home loan EMIs expected to drop down Jan 21, 2015
Corporation Bank received MSME banking excellence award 2014 Jan 19, 2015
Home loan rates set to fall, after reduction in repo rate Jan 16, 2015
News Archive