Laxmi Bank reports profit drop of 9.1 % in Q2 – thanks to provisioning and fall in core business
Fri, Jan 24, 2014 12:00 AM on Others,
ShareSansar, January 24:
Laxmi Bank Limited has reported a 9.1 percent drop in its profit in the second quarter of the current fiscal year 2070/71.
Publishing the unaudited quarterly report for the second quarter today, the commercial bank has stated that it has registered a profit of Rs 14.68 crore in the second quarter, down from Rs 16.16 crore in the corresponding quarter last fiscal year.
The loss is attributable to the problems related to its core business as its net interest income has dropped from Rs 36.53 crore down to Rs 31.09 in the second quarter last fiscal year.
Though Laxmi Bank mobilized Rs 28.19 arba in deposit and Rs 21.90 arba in loan as compared to Rs 14.47 arba in deposit and Rs 18.23 arba in the corresponding quarter last year, much of the loan has been channeled to sluggish realty sector.
It has also provisioned Rs 1.69 crore for possible losses.
The bank’s non-performing loan has also surged to 2.13 percent, up from 1.30 percent in the same period of the previous fiscal year.
Its EPS stands at Rs 17.32 and its net worth per share stands at 168.74.
