Dena Bank was trading 5% lower at Rs 42.40, extending its Tuesday’s 5.6% decline on BSE as assets quality of the state-owned bank worsens further during the quarter ended March 2017 (Q4FY17). The stock tanked 15% from its 52-week high of Rs 50 touched on May 9, in early morning trade before announcements of the results.
The bank’s gross non-performing assets (GNPA) as percentage of gross advances increased to 16.27% in Q4FY17 as against 9.98% in the same quarter last fiscal. Net NPA too rose to 10.66% in the quarter under review compared to 6.35% a year ago. GNPA and NNPA stood at 14.79% and 9.52%, respectively, in Q3FY17.
Net loss widened to Rs 575 crore in fourth quarter ended March 2017 from Rs 326 crore in the fourth quarter of the previous financial year, due to a fall in net interest income and rise in provisions for bad loans.
Net interest income (interest earned minus interest expended) during the quarter under review declined 28% to Rs 450 crore against Rs 625 crore in the corresponding quarter of previous fiscal.
