Canara Bank posts 3-fold jump in Q1 net to Rs 1,177 cr

Canara Bank on Tuesday reported nearly three-fold jump in standalone net profit at Rs 1,177.47 crore for the quarter ended June 30, helped by reduction in bad loans.

The public sector lender had logged a net profit of Rs 406.24 crore in the same quarter of the previous financial year. During the June quarter last year, Canara Bank had amalgamated Syndicate Bank into itself with effect from April 1, 2020. Total income in the April-June increased marginally to Rs 21,210.06 crore, from Rs 20,685.91 crore in the year-ago period, Canara Bank said in a regulatory filing.

The bank's gross non-performing assets (NPAs) declined slightly at 8.50 per cent of the gross advances as on June 30, 2021 as against 8.84 per cent at June-end last year. Net NPA ratio too fell to 3.46 per cent, from 3.95 per cent in the same quarter a year ago. As a result, provisions and contingencies for the first quarter came down to Rs 3,728.52 crore as compared to Rs 3,826.34 crore in the year-ago period. Of this, provisions for NPAs significantly reduced to Rs 2,334.88 crore, as against Rs 3,549.99 crore a year ago.