Shares of Bank of India (BoI) today plunged nearly 6 per cent after the company reported a steep 70.4 percent fall in net profit for the third quarter ended December 31, 2014. The stock tanked 5.77 percent to settle at Rs 227.65 on the BSE. During the day, it plunged 6.82 percent to Rs 225.10.
At the NSE, the scrip fell by 5.74 percent to end at Rs 227.45. Led by the dip in the stock, the company's market valuation fell by Rs 1,951.29 crore to Rs 13,565.71 crore.
"Bank of India reported 3Q FY15 results with PAT de-growth of 70.4 percent yoy which is much lower-than expected, while asset quality worsened," said Vaibhav Agrawal, VP Research Banking, Angel Broking.
BoI today reported a steep 70.4 percent fall in net profit to Rs 173.38 crore for the third quarter ended December 31, on account of higher provisioning and subdued growth in interest income.
The bank had posted net profit of Rs 585.82 crore for the October-December quarter of the 2013-14 fiscal. As far as BoI's asset quality is concerned, gross NPAs as a percentage to total advances rose to 4.07 percent from 2.81 percent in the year-ago period.
Its net NPAs went up to 2.50 percent from 1.75 per cent at the end of December 2013, BoI said in a statement. Gross NPA in absolute terms rose significantly to Rs 16,693.66 crore, compared to Rs 10,023.09 crore at the end of December 2013.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
