Allahabad bank pegs net profit at ₹28.84 crore

Allahabad Bank has posted a net profit of Rs 28.84 crore in the first quarter of 2017-18 fiscal. There was a net loss of Rs 564.96 crore in the bank's balance sheet during the corresponding April-June quarter of 2016-17.

Usha Ananthasubramanian, Managing Director and Chief Executive Officer of Allahabad Bank said on Friday that deposits cost has been reduced by 76 basis points to 5.49 percent. "We had taken a conscious decision of shedding our bulk deposits and create a stable and consistent deposit portfolio. Good news is that slippages have been contained," she said at a press conference to discuss the bank's performance in Kolkata. The total business of the bank stood at Rs 3,53,678 crore, while the deposit of the bank stood at Rs 2,01,809 crore.

The Cost of Deposit for the bank reduced to 5.49 percent in Q1 FY 2017-18 as against 6.25 percent in Q1 FY 2016-17. The Provision Coverage Ratio improved to 52.49 percent in Q1 FY 2017-18 from 46.03 percent in the same period a year ago. The gross non-performing assets (NPAs) or bad loans hit 13.85 percent as on June 30, 2017 against 12.33 percent as at end-June 2016. In absolute-value, gross NPAs were Rs 21,032.42 crore as on June 2017, up from Rs 19,208.62 crore by June 2016. Net NPAs, however, were only slightly higher at 8.96 percent against 8.69 percent. It valued at Rs 12,868.66 crore by end of June, against Rs 12,976.43 crore same period a year ago.