HomeNewsBusinessStocksKarnataka Bank falls 10% as asset quality declines in Q3, net profit increases

Karnataka Bank falls 10% as asset quality declines in Q3, net profit increases

For the reporting quarter, the company reported a decline in asset quality with the gross NPA up17 basis points QoQ to 3.64 percent and net NPA up 19 basis points QoQ to 1.55 percent in Q3FY24.

January 24, 2024 / 09:32 IST
Story continues below Advertisement
.
On January 18, Karnataka Bank and Clix Capital announced a strategic digital co-lending partnership to focus on providing loans to the Indian MSME sector.

Shares of Karnataka Bank fell 10 percent at the open on January 24 on the NSE, a day after the bank reported its Q3FY24 results. At 9:20am, the stock was trading at Rs 238.40.

Follow our market blog for live updates

Story continues below Advertisement

In a regulatory filing, Karnataka Bank reported a 10.1 percent year-on-year growth in net profit to Rs 331.08 crore for the quarter ended December 2023 on the back of fall in provisions for bad loans and increase in other incomes. Net interest income for the same period fell 0.86 percent on-year to Rs 827.6 crore. For the reporting quarter, the company reported a decline in asset quality with the gross NPA up 17 basis points QoQ to 3.64 percent and net NPA was up 19 basis points QoQ to 1.55 percent in Q3FY24.

Also read: Karnataka Bank Q3 Results: Net profit rises 10% to Rs 331 crore, asset quality deteriorates