India’s second-largest public sector bank, Bank of Baroda, recorded a loss of Rs 3,342 crore, which is the highest ever quarterly loss for a lender in the country. It had recorded a profit of Rs 333.9 crore in the same quarter last year. In the quarter that ended September, it reported profits of Rs 124.4 crore.
Net interest income, or the bank’s income from the lending business, fell by 17.6% to Rs 2,706 crore in the December quarter, Livemint reported. It was Rs 3,286 crore the same quarter the year before. The bank’s non-performing assets, or those that have stopped earning an income for the lender, doubled from the quarter year before, the Reserve Bank of India said at an asset quality review.
Reports said most lenders have reported massive setbacks after the asset quality review, and have been instructed by the apex bank to clean up balance-sheets so that they reflect truer numbers.