Federal Bank shares plunge nearly 5% on dismal Q4 results

Shares of Federal Bank have plunged nearly 5% after the private sector lender reported a 96% decline in net profit for the March quarter.

The stock tanked 4.79% to Rs 43.65 on the National Stock Exchange (NSE). At BSE, it slipped 4.78% to Rs 43.75.

At 1204 hours the shares of Federal bank were trading at Rs 45, down Rs 0.95 or 2.07% on the BSE. On the National Stock Exchange (NSE), the shares were trading at Rs 44.85, down Rs 1 or 2.18%.

Federal Bank on Saturday reported a 96% decline in net profit to 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 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 in January-march from Rs 39.78 crore in the same period of the 2014-15 fiscal.

For the full fiscal, profit sharply declined to Rs 486.42 crore from Rs 1,057.81 crore in 2014-15.