Uco Bank reports ninth straight quarterly loss at Rs 1,016 crore
Kolkata: State-owned Uco Bank reported its ninth consecutive quarterly loss as income from core operation as well as from treasury dipped sharply while asset quality deteriorated further.
The bank's net loss was at Rs 1016.4 crore in the December quarter, as against the year ago period's loss of Rs 437 crore. Both its retail banking and wholesale banking operation suffered losses while treasury profit was 45% down at Rs 461.4 crore.
Interest income fell 18% at Rs 3449.6 crore pulling down operating profit by 59% at Rs 368.95 crore.
The Kolkata-based lender had to make higher provisions at RS 1385.4 crore compared with Rs 1326 crore in the year ago period to cover fresh loan slippages. The gross non-performing assets ratio slipped to 20.64% from 19.74% at the end of the preceding quarter and from 17.18% at the end of year ago quarter.
The net loss would have been higher had it not been Reserve Bank of India allowed Uco to apportion a provision of Rs 440 crore to cover two large corporate accounts over third and fourth quarter of the fiscal.
Uco's capital adequacy ratio shrank to bare minimum of 9% at the end of December 2017 from 10.26% a year ago.
Its share traded lower Friday and closed 0.68% lower at Rs 29.30 on BSE.
The bank announced the financial results at the fag end of the market hour.