Public sector lender Central Bank of India reported a net loss of Rs 105 crore for the quarter ended March 31, on the account of significant rise in provisions for non-performing loans. In the same quarter last year, the bank had reported a net profit of Rs 113 crore.
The bank management blamed the dismal performance on its migration to system-generated NPA recognition and the high restructuring in state electricity boards.
Due to higher restructured assets, provisions during the quarter more than doubled to Rs 857 crore against Rs 306 crore in the same period a year ago. During 2011-12, loans worth Rs 17,347 crore were restructured, a three-fold rise from Rs 5,294 crore a year ago. Of these, Rs 7,781 crore of loans were restructured in the last quarter.