Public sector lender Allahabad Bank on Friday reported a net loss of Rs 564. 96 crore for the quarter ended June 30 as compared to a net profit of Rs 146. 86 crore in the year - ago period.
The lender also said it is planning to raise up to Rs 500 crore through a preferential issue to Life Insurance Corporation of India (LICI) and another Rs 500 crore through a qualified institutional placement.
The bank's gross NPA in absolute term rose by a 140. 5 per cent year - on - year to Rs 19, 208. 62 crore from Rs 7987. 44 crore in the same period last year.
Its gross NPA as a percentage of total loans rose to 12. 33 per cent in the quarter from 5. 29 percent a year - ago period, according to a filing to BSE.
Its operating profit during the June quarter dipped over 22 per cent year - on - year (y - o - y) at Rs 967. 44 crore compared with Rs 1241. 50 crore for the corresponding period last fiscal.
Its total income during the period under review fell by 5 per cent y - o - y at Rs 5122. 91 crore.
Provisions and contingencies grew 55. 7 percent y - o - y to Rs 1330. 78 crore for the first quarter this fiscal from Rs 854. 79 crore for the same period last fiscal, mainly to cover a sharp rise in bad loans.
Provision coverage ratio was 46. 03 per cent as on June 30, 2016.
In a BSE filing, the lender said its board of directors in a meeting approved raising equity capital aggregating up to Rs 500 crore by way of preferential issue to LICI and/or other Indian financial institutions/companies.
In addition to this, the board has also approved raising further equity capital of the bank by way of qualified institutional placement, aggregating up to Rs 500 crore.