PNB suffers its biggest loss of Rs 5367 Cr in Q4

Mumbai: Punjab National Bank had reported its biggest loss of Rs 5367 cr for the Q4 in March in India’s banking history. The lender has reported a net profit of Rs 307 cr in the corresponding quarter of 2015. The bank’s total NPA surged 12.9% in the Q4 against 8.47% in the Dec quarter. The bank’s provision for non-performing assets (NPAs) rose more than three-fold to Rs 11,380 crore in the fourth quarter compared to Rs 3,281 crore in the same period a year ago.

Asset quality at PNB deteriorated in the March quarter with its gross non-performing assets more than doubling year-on-year to Rs 55,818 crore and gross NPA as a percentage of total loans stood at 12.9 per cent, up 635 basis points (bps) year-on-year. It added that seven stressed sector currently account for 55 per cent NPAs and due to strong recoveries, gross non-performing assets (GNPA) should start declining from the June quarter of FY17.