Punjab National Bank First Quarter Profit Rises, But Misses Estimates

Punjab National Bank, India's fourth-biggest lender by assets, reported a 12 per cent rise in quarterly profit, as provisions for bad loans fell, although the profit increase was smaller than expected.

Net profit rose to Rs 3.43 billion ($53.51 million) for its fiscal first quarter ended June 30, from Rs 3.06 billion a year earlier, the New Delhi-based bank said on Wednesday (2 August).

Analysts on average had expected a net profit of Rs 4.04 billion, according to Thomson Reuters data.

Provisions for non-performing assets fell nearly 19 per cent from last year to Rs 25.60 billion.

Gross bad loans as a percentage of total loans rose to 13.66 per cent at end-June from 12.53 percent at March end, but fell marginally from 13.75 per cent at end-June 2016.

($1 = 64.0950 Indian rupees)

(Reuters)