Andhra Bank net down 8% to $61.7M

Andhra Bank witnessed a decline of 8.45 per cent in its net profit at US$61.7 million for the third quarter ended December 31, 2011.

It posted a net income of US$67.4 million in the same quarter of the previous year.

This is due to the high level of provisions made towards restructuring accounts, primarily from the telecom sector.

Total income stood at US$643 million, as against US$472 million during the same period a year ago, reflecting a growth of 36.12 per cent.

"The decline is mainly due to the provisions and contingencies made towards restructuring of accounts and non-performing assets. The third quarter was a challenging one for the entire banking industry, and even other banks have made substantial provisioning fortelecom tower accounts," Andhra Bank chairman B A Prabhakar.