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Continuing to fall for a second straight session after reporting its quarterly numbers, shares of ICICI Bank fell nearly 5 per cent today, as the company posted its worst numbers in over a decade with the net profit plunging 87 per cent in March quarter.
The shares plunged 4.73 per cent to Rs 225.40 on the BSE. On the NSE, the stock dropped 4.87 per cent to Rs 225.40.
At the closing trade, the stock was down 4.08 per cent at Rs 226.95 on the BSE. On the NSE, the stock fell 4.14 per cent to Rs 227.15.
ICICI Bank was the worst performer among blue-chips on both Sensex and Nifty during the morning trade.
The stock had fallen 1.5 per cent on Friday.
ICICI Bank had on Friday reported its worst numbers in over a decade with the consolidated net profit plunging 87 per cent in the March quarter at Rs 406.71 crore due to a spike in provisioning for bad loans.
Higher provisioning is in view of Reserve Bank’s asset quality review (AQR) as well as expectations of further bad loan issues at the country’s largest private sector lender.
The Chanda Kochhar-led bank had posted a post-tax net of Rs 3,084 crore on a consolidated basis in January-March quarter of last fiscal and Rs 3,122 crore in the preceding quarter, when it started recognising the effects of bad loans following the AQR.
On a standalone basis, the bank’s net profit tanked 76 per cent to Rs 701.89 crore from Rs 2,922 crore a year ago.
The company’s January-March earnings slumped, missing analysts estimates of a much bigger profit.
Macquarie has cuts the earnings estimates for FY17-18 by 15-16 per cent on slower growth and lower margins.
The bank has loans to five sectors below investment grade: power, iron/steel, mining, cement, and rigs, Macquarie says.
The brokerage has maintained “neutral” rating for the stock.
Federal Bank
Federal Bank shares wiped off their early losses and ended higher by over one per cent.
On the BSE, the stock gained 1.31 per cent to Rs 46.55. Similarly, the shares were up 1.64 per cent at Rs 46.60 on the NSE.
Earlier, the shares plunged nearly 5 per cent after the private sector lender reported a 96 per cent decline in net profit for the March quarter.
The stock tanked 4.79 per cent to Rs 43.65 on the NSE. On the BSE, it slipped 4.78 per cent to Rs 43.75.
Federal Bank had on Saturday reported a 96 per cent decline in net profit at Rs 10.26 crore for the fourth quarter ended March 31, due to higher provisioning.
The company had posted a net profit of Rs 280.53 crore in the year-ago period.
Total income during January-March quarter rose to Rs 2,253.38 crore from Rs 2,214.28 crore in the year-ago period, the firm had said in a regulatory filing on Saturday.
As per the company’s balance sheet, its provisions rose to Rs 388.64 crore during the period from Rs 39.78 crore in the same period of the 2014-15 fiscal.
For the full fiscal, net profit sharply declined to Rs 486.42 crore from Rs 1,057.81 crore in 2014-15.
IndiGo nosedives over 6%
Shares of IndiGo’s parent InterGlobe Aviation plunged over 6 per cent after the company’s net profit remained flat at Rs 579.31 crore in the three months ended March.
After opening on a weak note, the stock further slipped 6.42 per cent to Rs 1,007.40 on the BSE.
On the NSE, shares of the company slumped 6.95 per cent to Rs 1,006.
At 3.30 pm, the stock was down 4.51 per cent at Rs 1,023.80 on the BSE. On the NSE, the stock ended lower by 4.83 per cent at Rs 1,024.
Hit by higher expenses, InterGlobe Aviation had on Friday reported that its net profit remained flat at Rs 579.31 crore in the three months to March even as it flew more passengers during the period.
The largest domestic airline by market share had posted a net profit of Rs 577.33 crore in the year-ago period.
Total income from operations stood at Rs 4,090.68 crore in the latest quarter compared with Rs 3,823.27 crore registered in the same period a year ago, the airline had said in a release on Friday.
Despite lower fuel costs, IndiGo witnessed that its total expenses in the March quarter jumped nearly 12 per cent to Rs 3,409.86 crore. In the comparable period, the same was at Rs 3,049.79 crore.
Oberoi tanks 7%
Shares of Oberoi Realty today fell nearly 7 per cent after the company reported a 37 per cent plunge in consolidated net profit for the March quarter.
The stock declined 6.64 per cent to Rs 261.20 on the NSE. On the BSE, it slumped 6.38 per cent to Rs 261.50.
The company shares ended lower by 2.33 per cent at Rs 272.85 on the BSE and down by 2.52 per cent at Rs 272.75 on the NSE.
Oberoi Realty had on Friday reported a 37 per cent plunge in consolidated net profit to Rs 64.55 crore for the March quarter due to lower sales.
It had posted a net profit of Rs 103.02 crore in the year-ago period.
Income from operations fell 34 per cent to Rs 226.72 crore in January-March against Rs 344.71 crore in the corresponding quarter of the previous year, the Mumbai-based developer had said in a regulatory filing.
For the full fiscal, Oberoi Realty’s net profit rose 34 per cent to Rs 425.91 crore compared with Rs 317.12 crore a year ago.
Income from operations grew 53 per cent to Rs 1,408.09 crore from Rs 922.67 crore in 2014-15.
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