Andhra Bank has reported a 82.4% fall in net profit to R45.5 crore in the December quarter against R257 crore in the year-ago period. The bank said the fall in profit was on account of a steep increase in non-performing assets (NPAs) and provisioning. However, total income increased to R3,900 crore from R3,467 crore in the year-ago period, a rise of 12.49%.
Total expenditure grew 22.44% to R3,373.97 crore compared to R2,755.48 crore, while provisions and contingencies rose 50% to R428 crore from R285 crore in the corresponding quarter last year. Of this, provisioning towards bad loans rose 123% to R333.97 crore. Total deposits stood at R1,31,700 crore compared to R1,12,448 crore, registering a y-o-y growth of 17.1%. Advances recorded a y-o-y growth of 13.7% to reach R1,02,644 crore against R90,292 crore. Casa deposits increased to R31,031 crore from R29,265 crore, recording a y-o-y growth of 6%.
The gross NPA ratio stood at 5.55% while the net NPA ratio was 3.65%. Gross NPAs of the bank stood at R5,692 crore and the gross NPA-to-gross-advances ratio was 5.55%. Net NPAs were at R3,653 crore and the net NPA-to-net-advances ratio stood at 3.65%. An Angel Broking report said the bank saw continued asset quality pressures while reporting weak operating performance.
