Indian Overseas Bank extends net loss to Rs 2,254 cr in the September quarter

New Delhi, November 4 () The state-owned Indian Overseas Bank reported on Monday that it extends its net loss to Rs 2,253.64 crore for the second quarter that ended September 30.

The bank had recorded a net loss of Rs 487.26 rupees in the corresponding quarter of the previous financial year. In the first quarter of the current financial year, it had recorded a net loss of Rs 342 crore.

Total revenues during the second quarter of 2019-20 also fell to Rs 5,024 crore from Rs 5,348.35 rupees in the corresponding period of 2018-19, the bank said in a regulatory document.

The quality of the bank's assets remains high with the gross non-productive assets (NPA) of 20 percent (Rs 28,673.95 rupees) of gross advances during the quarter, compared to 24.73 percent (Rs 37,109.96 rupees ) in the same period of the previous year.

However, the net NPA decreased to 9.84 percent (Rs 12,507.97 million rupees) from 14.34 (Rs 18,876.05 rupees).

The provision for bad loans and contingencies for the quarter increased to Rs 2,996.04 rupees compared to Rs 2,016.60 million rupees a year ago, the bank said in the presentation.

Indian Overseas Bank said it received an infusion from the government in the amount of Rs 3,857 million rupees to contribute to the preferential allocation of capital shares of the lender.

The bank has restructured 9,098 MSME accounts (micro, small and medium enterprises) and has treated them as standard assets for Rs 450.98 crore until September 30, and maintained a provision of Rs 23.58 million rupees on such standard assets, he said. Shares of the Indian Overseas Bank closed at Rs 11.98 each in the BSE, 9.81 percent more than the previous close. KPM HRS MR MR