Axis Bank has recorded a 36 per cent fall in third-quarter net profits in 2020 as provisions jumped. The private sector bank posted a net profit of Rs 1,116.60 crore against Rs 1,757 crore in the same period of the previous year.

Provisions rose to Rs 4,604.28 crore from Rs 3,470.92 crore in the year ago period. Axis Bank said in its notes to accounts that it holds provisions as on December 31, 2020 against the potential impact of Covid-19 and that the provisions are in excess of RBI prescribed norms.

The Supreme Court has directed that the accounts which were not declared non-performing assets (NPA) till August 31, 2020 will not be declared as a bad loan till further orders. Axis Bank said it has not declared any account as NPA but the bank has made provisions on defaults of more than 90 days (not classified as NPA) under current provisioning rules. This amounted to Rs 3,899 crore.

Bank of Baroda

Bank of Baroda on Wednesday reported a consolidated net profit of Rs 1,159.17 crore for the December quarter of 2020.

The state-owned bank had posted a net loss of Rs 1,218.87 crore a year ago.

Total income of the bank fell to Rs 22,070.52 crore from Rs 23,134.67 crore in the year-ago quarter, Bank of Baroda said in a regulatory filing.

The lender improved on its asset quality with gross non-performing assets (NPAs) falling to 8.48 per cent of the gross advances by December-end 2020 from 10.43 per cent by the same period a year ago.

Canara Bank

State-owned Canara Bank on Wednesday reported consolidated net profit of Rs 739.20 crore in the third quarter ended December of the current fiscal.

It had earned a net profit of Rs 406.43 crore during the same period a year ago.

However, the profit of Q3FY21 is not comparable year-on-year as the latest figures are of the amalgamated entity after the merger of Syndicate Bank into Canara Bank.

The bank’s total income (consolidated) rose to Rs 24,490.63 crore from Rs 15,531.80 crore.