Allahabad Bank loss widens as bad loan provisions soar

Non-interest income jumped 24.31% y-o-y to Rs 511.14 crore.

State-run Allahabad Bank on Friday reported widening of its net loss to Rs 2,114.06 crore for the second quarter ended September 30, against a net loss of Rs 1,822.71 crore in the same period a year ago, because of an over 36% year-on-year rise in provisioning for bad loans.

The lender had reported a net profit of Rs 128 crore for the first quarter of the current financial year. The operating profit rose 18.5% y-o-y to Rs 632.87 crore from Rs 533.97 crore a year ago, with net interest income (NII) growing 10.88% y-o-y to Rs 1,275.71 crore for the period under review, according to a stock exchange filing. Non-interest income jumped 24.31% y-o-y to Rs 511.14 crore.

Total income registered a 4.8% y-o-y increase at Rs 4,622.90 crore, compared with Rs 4,410.72 crore for the year-ago period.