Oriental Bank of Commerce Shares Slide as Net Profit Declines 61%

Oriental Bank of Commerce Ltd.'s net profit declined 60.9 percent in the April-June quarter to Rs 100.69 crore from the same quarter last year, the company said in a filing to the stock exchanges.

Net interest income declined 9.3 percent to Rs 1,204.6 crore on a year-on-year basis.

Asset quality worsened compared to the previous quarter. Gross non-performing assets as a percentage of total advances rose to 11.45 percent versus 9.57 percent in the last quarter. Net non-performing assets increased to 8.1 percent of the loan book compared to 6.7 percent last quarter.

Provisions fell 26 percent to Rs 750.4 crore on a quarter-on-quarter basis. The provision coverage ratio deteriorated further to 49.3 percent on June 30 from 51.16 percent March 31, 2016.

Shares fell nearly 5 percent to Rs 114.70 apiece on the Bombay Stock Exchange.