IDBI Bank extends losses post weak Q3 earnings

NEW DELHI: Shares of IDBI Bank extended losses in Tuesday's morning session as the bank's losses widened nearly threefold to Rs 4,185.48 crore for the third quarter ended December 2018, as bad loans surged.

The scrip closed at Rs 47.05, down 7.11 per cent while the benchmark BSE Sensex closed up 0.09 per cent at 36,616.81.

The IDBI Bank stock had plunged nearly 6 per cent after the company had announced its Q3 results yesterday. The stock had slipped 4.07 per cent to close at Rs 50.65 on BSE.


The bank had reported a net loss of Rs 1,524.31 crore in the corresponding quarter of the previous fiscal. The bank's gross non-performing assets (NPAs) shot up to 29.67 per cent of gross advances during the quarter, against 24.72 per cent in the year-ago period. However, net NPAs declined to 14.01 per cent of the total advances, from 16.02 per cent in the December 2017 quarter. As a result, the bank's provision for bad loan increased to Rs 5,074.80 crore, compared with Rs 3,649.82 crore a year ago.

Meanwhile, the shares of IDBI Bank opened at Rs 49.60 on BSE.