Punjab National Bank posted a Rs 13,420-crore loss in the quarter ended 31 March, on the back of a hit from the Rs 13,000 crore Nirav Modi-Mehul Choksi fraud.
The net loss stood at Rs 13,420 crore compared to a profit of Rs 262 crore in the year-ago period, the state-run lender said in an exchange filing. This is much higher than the Rs 3,835 crore estimated by analysts tracked by Bloomberg.
Provisions for bad loans stood at Rs 16,200 crore in the March ended quarter.
PNB’s asset quality worsened, with gross bad loan ratio rising to 18.38 percent from 12.21 percent sequentially. Net NPAs jumped to 11.24 percent from 7.55 percent.
Shares of the fraud-hit lender fell as much as 5.8 percent to Rs 84 after the results announcement. The share price has fallen 47.6 percent so far this year compared to a 5.2 percent rise in the benchmark S&P BSE Sensex Index. The NSE Nifty Bank Index rose 4.6 percent in the same period.
(This is a developing story. More details awaited.)
(This article was first published by BloombergQuint.)
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