Bengaluru: Public sector Vijaya Bank Tuesday reported a 28.7 percent fall in its March quarter net profit at Rs 96.80 crore owing to a one-time provision of Rs 208 crore for salary increase.
The bank had posted a net profit of Rs 135.84 crore for the corresponding period last year.
Announcing the financial results, Vijaya Bank MD and CEO Kishore Kumar Sansi told reporters that, for the full year net profit jumped by 5.65 percent to Rs 439.41 crore.
Sansi said the quarterly drop in net profit is on account of making provision of Rs 208 crore towards increase in salaries arising out of the tenth bipartite settlement with Indian Bank Association.
"However, no provision has been made towards consequential increase in gratuity, pension and compensated absence liability," he added.
The total income of the bank for three months ended March 31, 2015 increased to Rs 3,406 crore against Rs 3,029 crore for the quarter ended March 31, 2014 up by 12.45 percent, Sansi said.
For the full financial year, total income increased to Rs 13,152.49 crore from Rs 11,416.42 crore last year, he said.
Interest income on advances for three months period ended March 31, 2015 increased to Rs 2192 crore against Rs 2003 crore for the corresponding period of last year, up by 9.44 percent, Sansi said.
On asset quality, Sansi said the bank's gross NPA ratio as on March 31, 2015 is 2.78 percent and net NPA ratio in the same period this year is 1.92 percent.
On year-on-year business of the bank, Sansi said the total busines for the period ended March 31, 2015 reistered a growth of 3.54 percent and increased to Rs 2,14,035 crore from Rs 2,06,721 crore as of March 31, 2014, Sansi said.
During the year, Sansi said the bank raised Rs 1,500 crore through issue of bonds out of which, Rs 500 crore and Rs 1,000 crore were eligible for additional tier I and tier II capital, respectively.
