Canara Bank Q2: Analysts had expected a loss of Rs 116 crore, according to Refinitiv data.State-run Canara Bank Ltd reported a 15.1 per cent rise in second-quarter net profit on Wednesday, helped by a tax write-back.
Net profit came in at Rs 300 crore ($40.56 million) for the three months ended September 30, compared with a profit of Rs 260 crore a year ago, helped by a tax gain of Rs 807 crore.
Analysts had expected a loss of Rs 116 crore, according to Refinitiv data.However, provisions for the quarter surged 31.5 per cent to Rs 2,835 crore, as the lender set aside more funds for bad loans, the bank said.Asset quality improved, with gross bad loans as a percentage of total loans dropping to 10.56 per cent at end-September, compared with 11.05 per cent in the previous quarter.
This was still higher than 10.51 per cent in the same period a year ago.