Mumbai: Axis Bank on Tuesday reported a net loss of Rs 1,388 crore for the fourth quarter (Q4) of 2019-20 due to higher provisions.
The lender had posted a net profit of Rs 1,505 crore for the corresponding period of the previous fiscal.
However, the bank’s net interest income (NII) zoomed to 19 per cent to Rs 6,808 crore during the quarter from Rs 5,706 crore earned during the corresponding quarter of the previous year.
According to the bank, it has made specific loan loss provisions for Q4FY 20 at Rs 4,204 crore, compared to Rs 1,714 crore in Q4 last year and Rs 2,962 crore in Q3FY20.
Further, it held an additional provisions of around Rs 2,558 crore towards various contingencies at the end of Q3FY20.
“The bank made other provisions aggregating Rs 3,526 crore in Q4 FY20 of which Rs 3,000 crore is towards COVID-19,” the bank said in a statement.
“At March 31, 2020, the Bank holds in aggregate additional provisions of Rs 5,983 crore. It is pertinent to note that this is over and above the NPA provisioning included in our PCR calculations, and the 0.4 per cent standard asset provisioning requirement on standard assets.”
Furthermore, the bank said that it has recognised slippages of Rs 3,920 crore during Q4FY20, compared to Rs 6,214 crore in Q3FY20 and Rs 3,012 crore in Q4FY19.
On a financial year basis, the bank’s net profit for the year ended on March 31, 2020 declined by 65 per cent to Rs 1,627 crore from Rs 4,677 crore reported for the previous financial year. (IANS)