Canara Bank Q3 profit drops 19% to Rs 711cr; shares down

Public sector lender Canara Bank's third quarter net profit dropped 19 percent year-on-year to Rs 710.5 crore, dented by higher provisions.

Net interest income increased marginally to Rs 1,988 crore from Rs 1,918.5 crore during the same period.

Provisions against bad loans went up nearly 49 percent quarter-on-quarter to Rs 626 crore in October-December quarter.

Gross non-performing asset (NPA) rose by 19 basis points QoQ to 2.77 percent while net NPA moved up by 23 basis points QoQ to 2.35 percent in the third quarter.

Capital adequacy ratio fell by 43 basis points QoQ at 12.64 percent in December quarter. Net interest margin stood at 2.36 percent for the quarter.

At 12:55 hours IST, shares lost more than 2 percent to Rs 450.30 amid hefty volumes on Bombay Stock Exchange on Friday.