CSB continues its losing streak; H1 ends with Rs47.5 cr loss

Gross NPA level grows to 8.26 pc; capital adequacy ratio drops to 9.70 pc

 

THRISSUR: The Catholic Syrian Bank (CSB) has reported yet another loss of Rs47.51 crore for the half-year ending September 30, 2018 against Rs13.13 crore for the same period last year, during its embattled journey that started a few years back.

This infers that the loss for the quarter ending September 30, 2018 is at Rs31.97 crore after deducting the Q1 loss of Rs15.54 crore. But for the fact that Fairfax is already in and has started infusing funds into the bank’s coffers, CSB would have been in a sorry state with its precariously low capital adequacy ratio (CAR) of 9.70 per cent as of September 30 against 11.09 per cent a year ago, and a record gross non-performing assets (GNPA) ratio of 8.26 per cent against 6.75 per cent for the corresponding period last year.

The total equity of the bank also witnessed a heavy drain during the period as it has shrunk from Rs827.37 crore to Rs695.59 crore as of September end, 2018.

The bank that has been on a ‘cold streak’ for quarters together reported a total income of Rs677.79 crore for the first half against Rs725.98 crore the bank reported for the same period last year.

The shareholders of the bank that has made history claiming the distinction of being the first bank in India to have got RBI approval to bring a foreign institution as its majority shareholder, have reposed all their hopes in Fairfax and its contribution to the journey forward for the bank.

 

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