Net NPA of South Indian Bank as a percentage of gross advances stood at 3.85%,

South Indian Bank (SIB) on Thursday reported a net loss of  Rs 187.06 crore in its second quarter results largely due to higher provisions. The Thrissur-based lender had reported a net profit of `65.09 crore during the second quarter of FY21. SIB sources said that as a prudent measure the bank has made an additional provision of  Rs 160 crore.

Gross non-performing assets (NPA) as a percentage of gross advances is reported at 6.65% for Q2FY22 , from 8.02% in the preceding quarter and 4.87% in the year -ago period. Net NPA as a percentage of gross advances stood at 3.85%, against 5.05% in the preceding quarter and 2.59 % in the year-ago quarter.

Murali Ramakrishnan, MD & CEO, while announcing the results stated that the prevailing Covid pandemic scenario in the country, impacted growth in the business and personal loan segment. However, the bank could register reasonable growth in the desired segments like well rated corporates and gold loan portfolio during the period.

“Bank has also been able to meet the targeted levels of recovery/upgrades which has helped in containing the GNPA level. During this quarter, Bank could improve the provision coverage ratio to 65.02% as on September 30, 2021, as against 60.11% as on June 30, 2021,”he added.