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Bank of India posts third-quarter loss on bad-loan provisions spike

Reuters 2018-02-12 16:42:12

(Reuters) - Bank of India Ltd on Monday posted a third-quarter net loss as provisions for bad loans surged.

Commuters walk past a bank sign along a road in New Delhi in this November 25, 2015 file photo. REUTERS/Anindito Mukherjee/Files

Net loss came in at 23.41 billion rupees ($363.96 million) for the quarter ended Dec. 31, compared with a profit of 1.02 billion rupees a year ago.

Analysts on average had expected the company to post a loss of 693.9 million rupees, Thomson Reuters Eikon data showed.Gross bad loans as a percentage of total loans stood at 16.93 percent at end-December, compared with 12.62 percent in the previous quarter and 13.38 percent a year ago.

Provisions for bad loans rose about 72 percent to 43.73 billion rupees. ($1 = 64.3200 Indian rupees)