Canara Bank witnesses turn around in Q1FY17

Canara Bank has declared its Q1FY17 results on July 25 after market hours. The bank’s total income has declined by 3.81 per cent to Rs 11786 crore in Q1FY17 as compared to same period in previous financial year. Its operating profit before provisions and contingences has decreased 9.22 per cent to Rs 1819 crore on a yearly basis. Canara Bank’s net profit has dropped more than 50 per cent to Rs 229 crore in Q1FY17 as compared to same period in previous fiscal year.

On quarterly basis, Canara Bank’s net interest income has decreased by 2.82 per cent to Rs 2307 crore in Q1FY17. The bank’s operating profit before provisions and contingences has increased by 10.47 per cent to Rs 1819 crore in Q1FY17 as compared to previous quarter. Its net profit stands at Rs 229 crore in Q1FY17 against net loss of Rs 3906 crore in Q4FY16.

Canara Bank’s domestic net interest margin (NIM) stands at 2.29 per cent and global NIM at 2.15 per cent in Q1FY17.

On asset quality front, Canara Bank’s bad loans have slightly slipped in Q1FY17. The bank’s gross NPA stands at 9.71 per cent in Q1FY17 against 9.4 in Q4FY16. Its net NPA stands at 6.69 per cent in Q1FY17 while 6.42 per cent in Q4FY16.

On segmental revenue front, Canara Bank has earned 26.81 per cent from treasury operations, 31.09 per cent from retail banking operations, and 40.35 per cent from wholesale banking operations during Q1FY17.

Canara Bank’s share price has increased by 5 per cent on bourses in early trades; and is trading at 261.45 on an intraday basis.