Central Bank of India Q1 profit at Rs 118 cr

Central Bank of India on Tuesday reported a net profit of Rs 118.33 crore for the June quarter 2019-20 as against a loss in the year-ago period on falling provisions for bad loans. In April-June 2018-19, the public sector lender reported a loss of Rs 1,522.24 crore.

Total income in the latest quarter rose to Rs 6,493.55 crore as against Rs 5,904.82 crore in the same period of the previous fiscal, the bank said in a regulatory filing. The lender witnessed an improvement in its asset quality as gross non-performing assets (NPAs) were brought down to 19.93 per cent of gross advances as at end of June 2019, from 22.17 per cent by the year-ago period.

Net NPAs or bad loans came down to 7.98 per cent from 10.58 per cent. In absolute terms, gross NPAs were Rs 32,908.44 crore at the end of June quarter 2019, as against Rs 38,777.66 crore by the year-ago same period.

Net NPAs stood at Rs 11,440.59 crore as against Rs 16,086.25 crore earlier. A fall in bad asset ratio led to a decline in provisioning which came down to Rs 897.42 crore for the June quarter of this fiscal as against Rs 2,538.14 crore parked aside for June quarter of 2018-19.

The provision coverage ratio of the bank is 76.85 per cent (66.42 per cent a year ago), the bank said. The stock of Central Bank of India settled at Rs 17.40 on BSE, up 2.05 per cent from the previous close.

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