Canara Bank Q1 profit may fall 24%, low credit growth seen

Public sector lender Canara Bank's first quarter profit is seen declining 23.6 percent to Rs 616 crore compared to Rs 807 crore in the year-ago period, according to a CNBC-TV18 poll. The bank will announce its earnings on August 5.

Net interest income, the difference between interest earned and interest expended, may increase 7.4 percent to Rs 2,608 crore from Rs 2,429 crore during the same period.

Analysts expect subdued numbers from the bank due to low credit growth, higher operating cost and asset quality concerns.

In Q4FY15, the bank disappointed operationally as well as on asset quality front. Gross non-performing assets (NPA) increased by 23.3 percent sequentially to Rs 13,040 crore and net NPA rose by 15.7 percent to Rs 8,740 crore in March quarter.