Fraud hit Punjab National Bank Friday posted a staggering loss of ₹4,532.35 crore for the second quarter ended September 30, 2018 on rising bad loans.
The state-owned bank had a net profit of ₹561 crore in the July-September quarter of last fiscal 2016-17.
Its total income during the September quarter of 2018-19 declined to ₹14,035.88 crore as against ₹14,205.31 crore in the year-ago period, PNB said in a BSE filing.
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The bank's gross non-performing assets (NPAs) as a proportion of gross advances rose sharply to 17.16 per cent ( ₹81,250.83 crore) at the end of September, from 13.31 per cent ( ₹57,630.11 crore) a year ago.
As a result, provision for bad loans nearly tripled to ₹7,733.27 crore in the September quarter as against ₹2,693.78 crore in the same quarter of the previous fiscal.
Shares of PNB were trading 1.01 per cent lower at ₹73.50 apiece on BSE.
Earlier, in the June quarter, gross non-performing assets (NPAs) were at 18.26% against 13.66% in the year-ago period and 18.38% in the preceding quarter.
Net NPAs were 10.58% against 8.67% in the year-ago quarter and 11.24% in the preceding quarter.
The bank is still recovering from the fraud when Nirav Modi and Mehul Choksi borrowed against LoUs fraudulently obtained from one of its branches in Mumbai.
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with PTI inputs.
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