Lakshmi Vilas Bank Q2 profit nosedives 83% to Rs 10.50 cr

Private sector Lakshmi Vilas Bank (LVB) today reported a 83.4 per cent fall in its net profit at Rs 10.50 crore during the second quarter ended September due to higher provisioning for bad loans.

The bank had reported a net profit of Rs 64.84 crore in the corresponding July-September period of 2016-17.

Provisioning for bad loans and contingencies jumped to Rs 187.38 crore for the second quarter of 2017-18, as against Rs 62.57 crore in the same period year ago.

In the current fiscal's second quarter, total income of the bank, however, was higher at Rs 902.76 crore as against Rs 830.29 crore a year ago, the bank said in a regulatory filing.

Asset quality of the bank witnessed a sharp deterioration with gross non-performing assets (NPAs) rising to 5.50 per cent of the gross advances as on September 30, 2017 from 2.70 per cent at end-September 2016.

Likewise, net NPAs spiked to 4.33 per cent of the net advances disbursed by the end of second quarter, from 1.87 per cent a year ago.

Stock of the bank traded 3.58 per cent down at Rs 141.50 apiece on BSE.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)