Canara Bank hits fresh 52-week low as assets quality weakens in Q4

Public sector lender bank’s asset quality deteriorated further during the recently concluded quarter.

“The gross non-performing assets (NPA) ratio as percentage of total assets increased to 3.89% in March 2015 quarter from 2.49% at March 2014. It was 3.35% at December 2014,” Canara Bank said in a statement.

The net NPA ratio stood at 2.65% from 1.98% at March 2014 and 2.42% at December, it added.

Meanwhile, the bank’s net profit remained flat at Rs 613 crore for the fourth quarter ended March compared to Rs 611 crore in the corresponding quarter last year.

Net interest income, the difference between interest earned and interest expended, fell 1.9% to Rs 2,486 crore in March quarter against Rs 2,535 crore in the same quarter last year.

Analysts on an average had expected net profit of Rs 692 crore on net interest income of Rs 2,534 crore.

In past two trading sessions the stock declined 6% from Rs 353 on May 21. So far, a combined 2.28 million shares changed hands on the counter on the NSE and BSE.