Indian Bank posts net profit of Rs 213 crore in December quarter

NEW DELHI: State-owned lender Indian Overseas Bank (IOB) on Tuesday reported a net profit of Rs 212.87 crore for the quarter ending December 2020 as provisions for bad loans declined.

The bank had posted a staggering net loss of Rs 6,075.49 crore in the year-ago quarter. IOB had posted a net profit of Rs 148.14 crore for the July-September quarter of 2020-21. Total income of the bank increased to Rs 5,786.51 crore during the October-December period of 2020-21 as against Rs 5,197.94 crore in the same quarter of 2019-20, IOB said in a regulatory filing.

The bank's asset quality showed improvement with gross non-performing assets (NPAs) falling to 12.19 per cent of the gross advances by December 31, 2020, as against 17.12 per cent by the end of December 2019.

In value terms, gross NPAs were valued at Rs 16,753.48 crore, down from Rs 23,733.86 crore. Similarly, net NPAs came down to 3.13 per cent (Rs 3,904.92 crore) from 5.81 per cent (Rs 7,087.09 crore) Provisions for bad loans and contingencies fell to Rs 1,513.57 crore for the quarter from Rs 6,663.94 crore parked aside by the lender for year ago quarter. Indian Overseas Bank shares closed 2.66 per cent down at Rs 11.36 apiece on BSE.