Canara bank Q1 net profit jumps 23%

Canara Bank on Wednesday reported 23.5% rise in standalone net profit at ₹406.24 crore for June quarter 2020-21.

The public sector lender logged a net profit of ₹329.07 crore in the same quarter of the previous financial year.

Canara Bank, which amalgamated Syndicate Bank into itself with effect from April 1, 2020, however, said the earning figures are not comparable as these are related to standalone financials for pre-amalgamation period.

Total income in April-June 2020-21 increased to ₹20,685.91 crore from ₹14,062.39 crore in the year-ago period, Canara Bank said in a regulatory filing.

The bank's gross non-performing assets (NPAs) were up slightly at 8.84% of the gross advances as on June 30, 2020 as against 8.77% at June-end last year.

In absolute value, gross NPAs or bad loans stood at ₹57,525.52 crore as against ₹39,399.02 crore by the year-ago same period.

Net NPA ratio, however, fell to 3.95% ( ₹24,355.23 crore) from 5.35% ( ₹23,149.62 crore).

Provisions and contingencies for the first quarter were raised to ₹3,826.34 crore as compared to ₹1,899.13 crore in the year-ago period.

Of this, provisions for NPAs stood at ₹3,549.99 crore as against ₹2,282.70 crore a year ago.