For the full financial year 2018-19, IDFC First Bank registered a net loss of Rs 1,944 crore as opposed to a net profit of Rs 859.3 crores in fiscal year 2017-18
Mumbai: IDFC First Bank posted a net loss of Rs 218 crore for the fourth quarter of financial year 2018-19 because of high provisioning, the bank said. The lender had posted a net profit of Rs 41.93 crores for the corresponding period a year ago. For the full financial year 2018-19, IDFC First Bank registered a net loss of Rs 1,944 crore as opposed to a net profit of Rs 859.3 crores in fiscal year 2017-18.
‘IDFC made provisions of Rs 419.46 crores’
“The key reason for the loss is provisions of Rs 419.46 crore made on three exposures of Rs 2,794 crore that are performing satisfactorily on its books, however, as a prudent measure, they have been identified as watch-list accounts as two of these accounts pertain to financial services firms that have been downgraded by rating companies recently,” it said in a late night release on Friday. The bank also said that it does not have any exposure to IL&FS or Jet Airways.
‘Earnings before tax would have been loss of Rs 696 cr’
The bank said that this included accelerated goodwill amortisation on the merger of Rs 2,599 crore and tax credits of Rs 1,351 crore. “But for these exceptional items of goodwill amortisation and one-time tax credits, the earnings before tax would have been a loss of Rs 696 crore,” it said.
Net interest income settled at Rs 1,113 crore
IDFC First Bank reported a net interest income of Rs 1,113 crore in Q4 as opposed to Rs 453.24 crore a year ago. The net interest margin for Q4 was 3.03 percent as opposed to the NIM of 1.58 percent for the quarter ended March 31, 2018.