Oriental Bank of Commerce Q1 profit falls 10% to Rs 353 cr

Moneycontrol Bureau

State-owned lender Oriental Bank of Commerce's (OBC) first quarter (April-June, FY14) net profit declined nerly 10 percent year-on-year to Rs 353.4 crore while net interest income increased 19 percent y-o-y Rs 1,307 crore.
Revenues from its treasury operations jumped 35 percent Y-o-Y to Rs 1,318.17 crore and retail banking rose by 19.6 percent Y-o-Y to Rs 2,161.03 crore in first quarter of financial year 2013-14, but corporate/wholesale banking's revenues were unchanged during the same period.
Gross non-performing asset (NPA) increased 15 bps sequentially (39 bps Y-o-Y) to 3.36 percent while net NPA rose by 7 bps Q-o-Q (29 bps on yearly basis) to 2.34 percent in June quarter.
Provisions and contingencies dropped 29.8 percent Q-o-Q (up 60 percent Y-o-Y) to Rs 532.7 crore in first quarter.
Capital adequacy ratio (as per Basel III) was 10.97 percent while provision coverage ratio was 63.88 percent as on June 30.
Net interest margin improved to 2.9 percent from 2.82 percent quarter-on-quarter.