InvestorQ : What explains the big loss reported by CSB Bank in the Mar-20 quarter?
Dilmini Mercia made post

What explains the big loss reported by CSB Bank in the Mar-20 quarter?

Answer
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Dhwani Mehta answered.
4 months ago


Catholic and Syrian Bank or CSB Bank reported net loss of Rs.59.6 crore for the Mar-20 quarter relatively better than the loss of Rs.150crore reported in the corresponding period last year. At an operating level, the bank turned around from a loss of Rs.38 crore last year to an operating profit of Rs.107 crore this year, largely on the back of lower provisions for stressed assets. The bank also made a provision for income tax for quarter and year ended 31 March and recalculated its deferred tax asset (DTA). Due to the shift to a lower tax regime, it wrote down its deferred tax assets to the tune of Rs.74.25 crore, and the absence of that the bank should have actually reported a profit in the fourth quarter. CSB Bank also reported improved asset quality as its non-performing assets came down from 4.87% to 3.54% of the total assets of the bank.