Suryoday Bank suffers a loss of Rs 48 crore, asset quality worsens

Kolkata: Suryoday Small Finance Bank suffered Rs 48 crore net loss in the quarter ending March 31 which was 11.6% higher than the loss of Rs 43 crore in the year ago period.

The higher loss was primarily due to asset quality deterioration and higher provision. The bank's gross non-performing assets rose to 11.8% at the end of March compared with 9.4% a year back. Net NPA also rose to 6% from a year ago's 4.7%. Provision was higher at Rs 112 crore against Rs 33 crore.

The bank however made an operating profit of Rs 48.4 crore against an operating loss of Rs 26.6 crore on account of 55.6% higher total income at Rs 256.6 crore.

Suryoday's gross advances rose 20.4% year-on-year to Rs 5,063 crore.

"We are working hard to improve the quality of our portfolio and expand our footprint in new and existing markets," Suryoday's managing director R BAskar Babu was quoted as saying in a statement issued by the bank.

"We expect stable credit demand and improved ecosystem recovery in the next quarters, allowing us to focus more on new disbursements and meeting the bank's growth ambitions."